The Blues will wonder how they failed to win this game after missing at least four guilt-edged chances when leading 1-0 through Jordi Hiwula’s 20th minute strike.
The visitors rode their luck and turned the game on its head, scoring twice after the break through Cauley Woodrow.
City began brightly and enjoyed plenty of possession in a first-half of almost total dominance and by the break the only disappointment was the game wasn’t as good as over as Fulham grimly clung on.
The Blues played their way into the game before gradually starting to control proceedings with Adam Drury and Alex Henshall causing numerous problems down either flank.
Leading scorer Hiwula almost broke the deadlock on 19 minutes with a glancing header that was cleared off the line by Solomon Sambou, but with 60 seconds, the Blues were ahead when Hiwula tapped home Drury’s fine corner.
Just past the half-hour mark, City turned the screw and should have doubled their lead as Henshall, Drury and Devante Cole all went close, but the visitors somehow clung on and there would be a heavy price to pay for not being more clinical in front of goal.
Fulham emerged for the second period looking a different team and could have drawn level shortly after the re-start when Cauley Woodrow’s shot was deflected narrowly over.
It should have served as a warning that the tie was far from over but on 65 minutes, the same player equalised with a neat finish at the far post
...City 1 Fulham 2
Though the goal sparked City into life, they couldn’t quite click into the rhythm they had in the opening half and it was no surprise when Woodrow struck again on 82 minutes to send the Blues crashing out of the competition and ruing those first-half misses.
City Under-18s coach Adam Sadler was understandably disappointed. He said: “We knew Fulham would come at us after the break and they did exactly that, but we played some really good football in the first half.
“We had chances to increase our lead before half-time, but sometimes they just don’t go in for you. We play Manchester United on Saturday and that will give us the perfect chance to bounce back. The lads are all disappointed but credit to Fulham who we wish well in the competition.”