The 26-year-old is currently on the hunt for his second Premier League title under the stewardship of Arne Slot, who assumed control at Anfield from Jurgen Klopp over the summer.
Alexander-Arnold has unsurprisingly started every match for the Reds in the league so far this season, although he has only provided one assist.
Despite the right-back's lack of goal contributions, Liverpool have enjoyed a stellar start to the campaign and sit at the summit of the Premier League standings.
With Lee Carsley in interim charge of England, Alexander-Arnold has enjoyed being used in his natural position for the Three Lions so far this term.
Liverpool unwilling to sell Alexander-Arnold following Real Madrid advances?
According to Football Insider, Liverpool have laid out their squad-wide transfer strategy ahead of the upcoming January transfer window in under two months.
The report claims that the Reds are unwilling to part with any of their first-team stars in the New Year, as demanded by head coach Slot.
It is understood that the Dutchman wants to strengthen his squad rather than weakening the playing staff in order to cash in on a number of star men.
As a result, Real Madrid's hopes of securing Alexander-Arnold in January have suffered a major blow, with Los Blancos targeting a replacement for Dani Carvajal.
The right-back's current terms at Anfield expire at the conclusion of the 2024-25 campaign, meaning that he is free to discuss a pre-contract agreement with foreign clubs in the New Year.
Liverpool 'to block' any Anfield exits in January
As well as Alexander-Arnold, summer arrival Federico Chiesa has also been linked with a move away from the red side of Merseyside in January.
The Euro 2020 winner is supposedly attracting interest from Cesc Fabregas's Como side in Serie A, although it is believed that Liverpool will not sanction an exit for the winger.
Playing second fiddle to the likes of Ryan Gravenberch and Curtis Jones in the midfield, Wataru Endo is another Reds player who could be forced to stay at Anfield until the end of the season.