Usually, European teams always dominance become the winner of FIFA Club World Cup on every edition since season 2007 and almost 16 season of FIFA Club World Cup dominance by UEFA confederation club. Have an exceptional with season 2005 and 2006 where Copa Libertadores teams Sao Paulo and Internacional become the winner but its happen longer time.
Manchester City will face with Urawa Reds in semifinal stage and likely not much problem for top European teams winning this match and qualified to final waiting the winner teams between Al Ahly or Fluminense.
This official FIFA format was created in 2000, and out of 19 championships played, CONMEBOL teams have managed to win 4 times
2 times with Corinthians, 1 with São Paulo and 1 with Interncional, all Brazilian teams
My team, Corinthians, was the last winner outside Europe
It's very difficult to compete with European teams because all the best salaries are there (or were until very recently with the arrival of Saudi Arabia), and every player's dream is to play in Europe, so all Brazilian teams are depleted year after year by selling their best players to Europe. It gets very difficult hehehe
Sometimes the salary of 2 or 3 players from Real Madrid or M. City, for example, already pays for the whole team in Brazil
I'll give you something nice to compare, with approximate values
Manchester City's estimated monthly salary: €18 million
Fluminense's estimated monthly salary: €1.67 million