Dunn, who will move to first base this season now that Sean Casey has been traded to Pittsburgh, is asking for $8.95 million. The club has countered with a $7.1 million offer.
Dunn made $4.6 million last season, when he batted .247 with 40 homers, 101 RBI and 114 walks. He is the only player in Reds history to have two seasons with 100 runs, walks and RBI.
Harang was the Reds' most consistent starter last season, when he made $440,000. He went 11-13 with a 3.83 earned run average in 32 starts and had one of the club's two complete games.
Harang led the staff with 11 victories, 163 strikeouts and 211 2/3 innings, the most by a Reds pitcher since 1996.