
The X3 M40i is the BMW for people who want an M car but have a family, a dog and a Pak’nSave shop to do. It looks like a regular X3 if you don’t squint too hard, goes like a 3.0-litre straight-six should, and slips through traffic without drawing a single look from the cops.
The G01 generation arrived here in late 2017 and ran through to early 2024. A facelift in mid-2021 brought bigger kidney grilles, slimmer headlights, a 12.3-inch screen, and 48-volt mild-hybrid assistance for the M40i. Everything else carried on largely unchanged, which is a polite way of saying BMW knew it had a winner.

The X3 range at a glance
NZ-new buyers had plenty to choose from across the seven years of G01 sales. The entry point was the xDrive20d, a 2.0-litre turbo-diesel four with 140kW and 400Nm. Above that sat the xDrive20i and later xDrive30i petrol fours (135kW and 185kW respectively), and the xDrive30d six-cylinder diesel for the long-distance crowd. The xDrive30e plug-in hybrid joined post-facelift, pairing the 2.0-litre petrol with an electric motor for around 50km of EV range.
Then there’s the M40i, and above it the full-fat X3 M and X3 M Competition, which are substantially different cars built around the S58 engine.
All G01 X3s ran an eight-speed ZF automatic and xDrive all-wheel drive. They share the same clean cabin, big boot (550 litres seats up, 1600 down) and 2000kg tow rating.

The M40i in detail
Under the M40i’s bonnet sits BMW’s B58, a 3.0-litre turbocharged inline-six that’s quietly become one of the great modern engines. It’s the same fundamental unit that powers the Toyota GR Supra. In pre-facelift form it made 265kW and 500Nm. The 2021 LCI added a 48V mild-hybrid system and lifted outputs to 285kW/500Nm, with 0-100km/h dropping to 4.8 seconds.
Standard kit on NZ-new M40is includes adaptive M suspension, M Sport brakes, an M Sport rear differential, variable sport steering, 20-inch wheels (21s optional), Vernasca leather, harman/kardon audio, head-up display and BMW Live Cockpit Professional.

What it’s like to drive
The M40i isn’t trying to be an X3 M. NZ Autocar’s twin test against the Volvo XC60 T6 R-Design pegged it as the sharper SUV of the pair, with a front end that points about keenly and a six that howls in true straight-six style around to just shy of 7000rpm. It rolls a touch on turn-in, weighs nearly two tonnes, and doesn’t have the snap of the proper M car. What it does have is a wave of torque from 1520rpm, an exhaust that pops on the overrun without being obnoxious, and a chassis composed enough to flatter your driving on a back road.
The daily-driver bit wins people over. Comfort mode dials everything down to Lexus-quiet, and you’ll see 8–9L/100km on the motorway when behaving. Sport mode tightens the dampers and opens the exhaust. The 21-inch wheel option looks great but rides firmer over scarred Auckland tarmac. The 20s are the smarter pick.

Inside
The G01 cabin has aged better than most. Physical climate controls, a proper iDrive rotary controller, and the sort of build quality that reminds you why people pay BMW money. The driving position is spot-on, and the back seat has genuine room for adults. Pre-facelift cars get a 10.25-inch screen running iDrive 6. LCI cars get the 12.3-inch unit and iDrive 7 with wireless Apple CarPlay and Android Auto.
What to watch for
The good news first: the B58 is one of the most reliable performance engines BMW has built in years. Other than the occasional gasket and routine maintenance, it’s a near zero-risk engine. Watch for oil leaks from the valve cover gasket and oil filter housing, coolant system components (electric water pump and thermostat), the charge pipe, and worn front control arms on hard-kilometre cars.
The eight-speed ZF automatic transmission is bulletproof if it’s been serviced well. BMW marks it sealed for life — that’s nonsense. Get a fluid and filter change at 80,000–100,000km, and the same for the transfer case and rear diff oils. Tyres are the real running cost: staggered 20s or 21s on a 1900kg AWD car wear quickly, and don’t mix brands across axles. xDrive doesn’t like it. Full BMW history is worth paying extra for.

Pricing
For context, the M40i launched here at $119,850 in late 2017. Auto Trader has G01 X3 M40is now listed from around $55,000 for early 2018 cars with higher kilometres, through to $95,000-plus for low-kilometre 2023 LCI examples. The sweet spot is a 2021 or 2022 facelift car with 50,000–70,000km, full BMW history and the 20-inch wheels. Expect $75,000–$85,000 from a dealer.
Verdict
If you need a premium SUV that does it all, the M40i is the answer. The B58 is brilliant, the chassis is sorted, and the cabin holds up. Buy a LCI car if budget allows, take the 20s over the 21s, and don’t skip a pre-purchase inspection.
Thanks to Fasst Auto for the loan of the toyota BMW X3 M40i Find more of their cars at www.fasstauto.co.nz
BMW X3 M40i
9.2L/100km / 209g/km
0-100 km/h 4.8s
Used price $55,000-95,000
Engine 2998cc IL6 / T
Max power 285kW
Max torque 500Nm
Drivetrain 8-speed auto, AWD
Weight (claimed) 1910kg