Alonso originally retired from F1 at the end of the 2018 season after a poor four-year term at McLaren but admitted at last year's Abu Dhabi Grand Prix that he would be open to a return next year.
Alonso spent five seasons at Ferrari between 2010 and 2014 alongside Domenicali, just missing out to Red Bull's Sebastian Vettel in the driver's championship at the final rounds of 2010 and 2012.
Both Alonso and Domenicali left the team at the end of 2014. Alonso made a return to McLaren at the start of their partnership with Honda in 2015, while Domenicali moved to German manufacturer Audi.
With Renault's Daniel Ricciardo being confirmed as Ferrari bound Carlos Sainz's replacement at McLaren in 2021, rumours suggest that Alonso could make a return to the team he won his two driver's titles with back in 2005 and 2006.
Alonso was also briefly linked to the Ferrari seat after it was announced that Sebastian Vettel would be leaving the team at the end of the year.
Speaking recently to Reuters, Domenicali, now CEO of Lamborghini, said that a possible return to the sport for Alonso would be a massive gain for the sport.
He also believed that Alonso could still perform very well in F1 if the car was capable of doing so and that he would still be able to challenge the younger drivers in the sport.
“We have already fantastic young drivers... but Fernando would give another level,” Domenicali said.
“He would be for sure very strong. Of course, he can be stronger with a good car, with a very fast car, but Fernando would be an asset for Formula 1 if he would come back.”
Bahrain International Circuit - Winter testing