In the United States, the BMW X3M is the closest thing you can get to an M3 wagon. It has the same engine as an M3, it’s relatively small as SUVs go, and sits fairly low. There’s a lot to like, and yet two massive flaws.
Underneath, it’s based on the X3 crossover, which in itself is based on the 5 Series sedan platform. The BMW X3 is not a bad SUV (or SAV as BMW calls it); it has a nice interior with excellent ergonomics, a good sound system, and a nice four-cylinder engine under the hood.
Now, take your regular X3 and replace the 2.0T with a twin-turbo inline-six. Throw some carbon fiber or aluminum trim in the cabin, and light-up M logos on the headrests. And lastly, make the driving experience simultaneously amazing and terrible — boom, you have an X3M.
The S58 is a fantastic engine. There’s no denying that. Even in non-Competition form, it makes almost 500 horsepower and close to 450 pound-feet of torque. The exhaust note sounds just like an M3, and the speed at which this 2.5-ton crossover accelerates is hilariously fun. It’s almost as quick in a straight line as my tuned Audi S4, with a 0-60 under 4 seconds.
For an SUV, the X3M also takes corners incredibly well, and lets you have a little fun when you want to, courtesy of the M5’s electronic limited-slip differential. As with most M cars, there’s tons of configurability of suspension and transmission sharpness, and yet no preset drive modes like every other car on the road.
On the flip side, the adjustable dampers and overall firm suspension setup may be fun in certain scenarios, but the first big flaw of the X3M is ultimately the day-to-day driving experience. It’s brutal. BMW’s larger X5M has always been known for its crazy speed and harsh ride, and it’s clear the same philosophy has been applied to the X3M. There is simply no scenario except on track where it rides objectively well. It’s way too stiff, way too choppy, and I’m not the only one that feels this way — go read almost any other review of this thing.
The second fatal flaw of the X3M is the existence of its lesser sibling, the X3 M40i. Despite being just an “M Performance” model, the M40i is just as good – if not better – than the X3M in a number of ways.
From an exterior and interior standpoint, the M40i is almost indistinguishable, especially with the recent LCI facelift updates. Everything good about the X3’s interior carries over; the driving position and ergonomics are great, iDrive is easy to use, and there’s plenty of space in the back for people and cargo. The seats aren’t as aggressive as the full M, but you’ll still have plenty of M badges to go around.
The B58 inline-six is down one turbo and makes about 90 horsepower less, but sounds just as good. It’s also proven itself to be fairly reliable thus far, and easy to tune/modify for increased output. A 0-60 time of 4.4 seconds is still respectable, and the M40i actually weighs 300 pounds less.
Sure, the eight-speed transmission isn’t tuned as sharply as the M, and you lose the limited-slip diff, but the on-road driving experience of the 40 is as it should be: way more comfortable and still fast enough.
The real kicker though? As of the current model year, the base MSRP of an X3 M40i is $61,900. That’s not cheap by any means, but the X3M starts nearly fourteen grand more, at $75,500.
Look, the X3M is not a bad SUV if you’re looking for all-out performance — the M40i is just a far nicer car to live with, and easier to justify. I’m not going to say you shouldn’t buy an X3M, but be warned, it may not be exactly what you’re expecting.
The real solution, though? Just move to Europe and get an M3 Touring.
| Vehicle Tested | 2020 BMW X3 M |
| Color | Phytonic Blue / Black Merino Leather |
| Drivetrain | 3.0L twin-turbo I-6, 8-spd automatic, All wheel drive |
| HP / Torque | 473 horsepower / 442 lb-ft |
| Curb Weight | 4,620 lbs (est.) |
| 0-60 mph | 3.9 seconds (est.) |
| EPA Fuel Econ | 14 city / 19 hwy / 16 combined |
| MSRP | $82,000 (est.) |
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