When the third-generation BMW X3 was launched in 2018, it arrived with so much promise. All that was really missing was some extra driving spice — that arrived in 2020 in the form of the X3 M and X3 M Competition. Along with the larger kidney grilles and thinner adaptive LED headlights came some M specific details and seriously powerful engines. This duo set the tone for one of BMW’s most popular models. The new fourth-generation 2025 BMW X3 takes the good and makes it better. As before it arrives in fast and very fast versions.
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2025 BMW X3 Competitors
There is a lengthy list of contenders vying to knock the X3 off its roost. The list of key competitors includes the Audi Q5, Genesis GV70, Mercedes-Benz GLC and Porsche Macan along with outliers like the Alfa Romeo Stelvio, Lexus NX and Volvo XC60. Of course, where available, the mortal model’s evil twin faces off against the hot X3 M50 xDrive.
What’s New with the BMW X3 for 2025?
The fourth–generation X3 is all-new. It starts with a new exterior design language and an available illuminated ring around the strikingly different kidney grille. The new look wraps a more modern interior that features BMW’s Curved Display and iDrive 9. It amps up the digital experience. Next is a pair of new engines. Both the four- and six-cylinder units now work with a 48-volt mild–hybrid system, which improves performance and efficiency. Interestingly, the “i” attached to the previous models has been dropped — moving forward the “i” will be used to designate an all-electric model.
The 2025 BMW X3 arrives in two hot flavours
The powertrain lineup starts with the 2.0-litre turbo-four that runs on the more efficient Miller cycle and works with an improved twin-scroll turbocharger and intercooler. It also uses a 48-volt mild-hybrid system to great effect. It features an electric motor that’s integrated into the eight-speed automatic transmission. This blend not only improves efficiency; it helps the off-the-line pull. As such the new hybrid powertrain produces 255 horsepower and 295 pound-feet of torque anywhere between 1,600 and 4,500 rpm. This gives X3 30 xDrive a run to 100 km/h in 6.3 seconds.
The X3 M50 xDrive tested uses a 3.0L turbocharged inline-six that also uses the aforementioned Miller cycle, a twin-scroll turbocharger and the same hybrid system. This blended combination produces 393 hp and 428 lb-ft of torque between 1,900 and 4,800 rpm. Yes, it lags the previous X3 M, but it still manages to get the job done and done very well. When the full-on M does (hopefully) land it promises to be a riotous ride!
Anyway, the X3 M50 xDrive has the wherewithal to romp to 100 km/h in 4.6 seconds, it blasted through the 80-120 km/h passing move, according to my stopwatch, in 2.7 seconds and run to a top speed of 210 km/h. This is solid performance any way you slice it!
The test drive emphasized just how much flexibility the hybrid system adds to the engine. Almost without regard for vehicle speed, the response to throttle input was right now. The fact the eight-speed automatic has the uncanny knack of being in the right gear for the situation certainly helps matters. Where many eight-speed automatic boxes hunt and peck between gears, the X3 has impeccable logic — there’s no unwanted upshifts mid-corner, it doesn’t downshift the instant the road starts to climb and it uses the most economical gear in the city.
There are three core driving modes. My Modes Personal allows the driver to mix and match the settings. Efficient is just that, as it dumbs down the response in favour of economy. The last is Sport. While it’s the mode of choice beyond the confines of the city, it’s too hyper for an urban setting — it holds the gears for an impossibly long time under light throttle. The paddle shifters override this, but it’s a chore too far.
Both models work with xDrive. It is a fully proactive system that apportions the torque as needed. It can send all the power to one axle if that’s what’s needed. It adds enormously to the sense of confidence the driver feels.
There is a sizable premium for the M50 xDrive, but it has to be considered well worth it — the power at play is delightfully underscored by the quad tailpipes integrated neatly into the rear apron. The sound is both unmistakable and sublime!
How economical is the 2025 BMW X3?
According the Natural Resources Canada (NRCan), the 2025 BMW X3 30 xDrive consumes 8.8 L/100 km in the city and 7.1 L/100 km on the highway. It has an average consumption of 8.1 L/100 km and an annual fuel cost of $2,997. The BMW M50 xDrive is rated at 9.3 L/100 km city and 7.7 L/100 km highway, an average of 8.6 L/100 km and an annual cost of $3,182, so there’s a small penalty of the extra power.
To judge the value and efficiency of the 48-volt hybrid system fitted to the fourth-gen X3 it pays to look at the 2024 X3 xDrive30i — it was rated at 11.0 L/100 km city, 8.4 L/100 km highway and had an average consumption of 9.9 L/100 km along with an annual fuel cost of $3,663. Enough said.
The 2025 BMW X3’s ride story
Obviously, the power at play in any BMW is very important, however, the handling must be the equal. In the case of the X3 M50 tested, the handling side was honed by a number of things. First, the body is lighter yet it has more rigidity, which gives the adaptive M Sport suspension with electronically-controlled dampers, variable sport steering and an M Sport rear differential a solid base of operations. While all of these features are standard in the US, the adaptive dampers are a $1,000 option in Canada. Go figure.
In the tester’s case, the handling proved to be superb. The adaptive suspension blends city comfort with excellent corner carving ability. Running a twisty road with my foot well into it, the M50 had no body roll and the response to throttle input was immediate. The steering followed this lead. In suburban driving, it was nicely weighted and it delivered excellent straight-line stability when cruising the highway. On that twisty backroad it followed my lead with unerring accuracy and precision. Lastly, the M Sport brakes were more than up to that hard charge without feeling touchy in the city. It’s a tasty drive!
The 2025 BMW X3 has a slick cabin
The key upgrade to the cabin is BMW’s Curved Display and iDrive 9. It was developed inhouse using the Android Open Source Project (AOSP) software as a base. The infotainment system has high-quality, high-resolution graphics with simple, easy-to-understand features. It can be operated through the touchscreen, the central iDrive controller, the steering wheel-mounted controls or an advanced voice command setup. From a practical perspective, the number of buttons has been pared back, which moves many of the features to the touchscreen including the climate control and drive mode functions. Thankfully, there is still a thumb wheel for audio volume!
Beyond the cloud-based navigation and drive modes there are a slew of other tiles that change the ambient lighting and look of the screen. Sport delivers a predominately red theme — both in the instrumentation and infotainment sides. Others, like Expressive and Digital Art, are strange and will likely go unused. The chunky steering wheel houses controls for audio and cruise functions. One thing that is different is the control of the air vents is now touch based. The outer vents have a five-position touchpoint next to the door lock control; the middle vents have touch sliders.
The 2025 BMW X3 also includes several new features including adaptive cruise control with traffic light recognition, automated lane change assist and the Parking Assistant with an optional Parking Assistant Professional Package. The latter allows the driver to control the process from inside the vehicle or outside using a smartphone.
The X3’s family side and space
The 2025 X3 is 4,755-mm long, which is up 34-mm, it’s 29-mm wider at 1,920 mm, but rides on the same 2,865-mm wheelbase (technically it is up one millimetre). This brings plenty of family space. There’s enough width in the rear seat to accommodate three adults, although two is the better proposition, to go along with 570-litres of cargo space with the seats upright. Fold the rear seat flat and it opens up 1,700L. The X3 30 xDrive can tow 1,815-kg; the M50 ups that to 2,200 kg.
Canadian Pricing for the 2025 BMW X3
The new 2025 BMW X3 30 xDrive has a starting price of $58,900; the top BMW X3 M50 xDrive commands $74,900. Both have a delivery cost of $2,480.
Final thoughts on the 2025 BMW X3 M50 xDrive
The BMW X3 M50 represents the best of divergent worlds. It’s a family-oriented city companion with a comfortable driving demeanour and the taller seating position so many favour. It’s also a full-on sport-ute that was a willing participant whenever the gas pedal was mashed. Few crossovers get the blend these opposing abilities quite as well.
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