It is fair to say that the first 45 minutes alone was a more enthralling spectacle compared to the goalless stalemate played out between these two teams in March of last season.
Erling Haaland failed to score in either Premier League encounter with Arsenal last season, but he needed just nine minutes to poke home City's opener on Sunday, moving him onto 10 top-flight goals for the season and 100 goals in just 105 appearances for the Citizens.
Pep Guardiola's men are sure to be sweating over the fitness of lynchpin Rodri, who was forced off with an apparent knee injury just a minute before Riccardo Calafiori place a beautiful side-footed equaliser into the far corner on his first Premier League start.
Gabriel Magalhaes was then celebrating his second goal in as many games as he towered above City's backline to head home Bukayo Saka's corner - almost a carbon copy of his goal in last weekend's North London derby win - but Arsenal ended the half down to 10 men as Leandro Trossard was sent off for two bookable offenses.
Mikel Arteta's response for the second half was to bring on Ben White for Saka and defend deep with a back five, who gave everything to force City to take pot shots from the edge of the penalty area, as well as frustrate the hosts with time-wasting tactics.
David Raya - who was lauded for his Champions League heroics in midweek - was called into action to make several strong saves to deny the likes of Kyle Walker and Josko Gvardiol, keeping out a fiercely-struck volley from the latter with a brilliant diving save four minutes from time.
It was one-way traffic throughout the second half, and City's persistence was finally rewarded in the 98th minute when substitute John Stones tapped home from close range, ensuring that the reigning champions extend their impressive unbeaten run at the Etihad across all competitions to 48 matches.
The draw for Man City means that their perfect start to the Premier League season has come to an end, but they have moved one point above Liverpool back to the top of the table, while Arsenal are down in fourth and two points behind the Citizens.
MAN CITY VS. ARSENAL HIGHLIGHTS
Erling Haaland goal vs. Arsenal (9th min, Man City 1-0 Arsenal)
Man City's goal machine Erling Haaland failed to score in two meetings with Arsenal last season, but he needed just nine minutes to open the scoring this afternoon, bursting through a surprising large gap between Arsenal's two centre-backs to meet a perfectly weighted through-ball from Savinho and poke home a low and composed finish past Raya.
Rodri injury vs. Arsenal (21st min, Man City 1-0 Arsenal)
Man City's star lynchpin Rodri limped off with an apparent knee injury after an innocuous collision with Thomas Partey at a corner where he appeared to jar his knee following a shoulder-to-shoulder with the Ghanaian. Mateo Kovacic was brought on as his replacement.
Riccardo Calafiori goal vs. Man City (22nd min, Man City 1-1 Arsenal)
Just moments later, Arsenal go up the other end and equalise in impressive fashion, with Gabriel Martinelli receiving the ball on the left and cutting it back for Riccardo Calafiori to side-foot a superb bending strike away from Ederson and into the far corner.
Gabriel Magalhaes goal vs. Man City (45 + 1 min, Man City 1-2 Arsenal)
Arsenal's set-piece supremacy came to the fore once again in the first minute of stoppage time, with Bukayo Saka's inswinging corner headed home at the back post by the towering Gabriel Magalhaes, scoring his second successive goal from a corner after netting against Spurs last weekend.
Leandro Trossard sent off (45 + 7 min, Man City 1-2 Arsenal)
Leandro Trossard was shown a deserved yellow card for a blatant pull of Savinho's shirt midway through the first half and was then given his second booking on the stroke of half time for kicking the ball away after barging into the back of Bernardo Silva.
John Stones goal vs. Arsenal (90 + 8 min, Man City 2-2 Arsenal)
It looked as if Arsenal would cling on to three precious points at the Etihad, but John Stones came off the substitutes' bench to net a dramatic 97th-minute equaliser from close range following a penalty box scramble.
MAN OF THE MATCH - DAVID RAYA
As he was in midweek for making an outrageous double save to ensure Arsenal picked up a Champions League point in midweek, David Raya put in another superb and crucial goalkeeping performance to keep Man City at bay for much of the contest.
The Spanish shot-stopper made a total of nine saves, including a brilliant diving stop to deny Josko Gvardiol four minutes from time and his performance, coupled with the defensive display of the back five in front of him for the second half, ensured that the Gunners came away with a point - and almost three - at the Etihad.
MAN CITY VS. ARSENAL MATCH STATS
Possession: Man City 78%-22% Arsenal
Shots: Man City 33-5 Arsenal
Shots on target: Man City 11-3 Arsenal
Corners: Man City 8-2 Arsenal
Fouls: Man City 7-10 Arsenal
BEST STATS
WHAT NEXT?
Just 49 hours will separate the end of this afternoon's draw and Man City's EFL Cup third-round clash at home to Championship outfit Watford on Tuesday night.
Arsenal will also shift their focus to an EFL Cup tie against lower-league opposition, as they are scheduled to face League One side Bolton Wanderers at the Emirates Stadium on Wednesday.