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Ilkay Gundogan's thunderous strike from just outside the box gave City the lead, before Phil Foden and Kevin de Bruyne produced a pair of classy finishes to leave Chelsea with a mountain to climb.
The hosts toiled in vain to get back into the game in the second periodand eventually pulled a goal back through Callum Hudson-Odoi in stoppage time, but a gulf in class between the two teams was evident throughout the contest.
The Blues have slipped to eighth in the Premier League standings after suffering a fourth loss in their last six games, and Pulisic has issued a rallying ahead of the second half of the seasonwith theirtitle challenge now seemingly up in smoke.
"We have a game next week where we need to start turning it around because we do need to start getting results quickly. We’ll watch this game back, look at it as a team and see what we can improve on. It’s not going to be easy but we need to show character now.
"We have some games coming up where we need to turn it around quickly and start putting together a run of results."
Pulisic added on Chelsea's overall display against City:"We conceded goals with a lot of counter situations and we weren’t prepared to stop that so the first half really let us down.
"They were able to beat us on some transitions where we needed to defend better and be a little smarter and then we allowed them to dictate the tempo of the game.
"We had to go back out and show character. We’re never going to give up, we know we have talented guys and a good team but we just need to show it, which is what we did in the second half.