Bayern shocked the football world on winter transfer deadline day when they announced a deal had been struck with the Premier League champions to take Cancelo to the Allianz Arena for the rest of the season.
The 28-year-old had been an important element of Pep Guardiola's side for the last few seasons but even after losing his starting spot recently at the Etihad Stadium, few would have imagined Cancelo would be moved on.
Bayern Munich have the option to make the move permanent for €70m at the end of the season.
Cancelo has taken little time to make an impression in Bavaria, providing two assists in as many games so far.
Salihamidzic appreciates the talent Cancelo brings to the table but his asking price could prove to be a stumbling block in the long run.
Speaking to the Bild am Sonntag newspaper, Salihamidzic said: "We're playing with open cards. The most important thing is that Joao feels comfortable in Munich and can perform in the second half of the season. But we also made it clear to him that this sum is difficult for us to imagine in the next few years."
"If all sides absolutely want a common solution, you can manage that in the end. He knows that he has been one of our dream players for years."
If Bayern Munich fail to sign Cancelo, the former Juventus full-back will have to return to the blue half of Manchester to fulfill the rest of his contract which runs until 2027.