2023 BMW X3 PHEV

The BMW X3 takes the luxury and engaging driving experience associated with the brand and packages it in a practical compact SUV. Pricing starts at $45,400.

Drivers have many choices when shopping for a compact luxury SUV. If you’re looking for a premium SUV that drives like a compact sports sedan, then you’ll be satisfied with the sporty BMW X3. The handling is more agile than you might expect for an SUV, and it has a mighty range of engines going up to the 503-horsepower X3 M Competition. However, it’s on the more expensive side of its segment alongside the Mercedes-Benz GLC-Class and Audi Q5. To the right driver, it’s worth every penny.

2023 BMW X3 Pricing

The X3 starts at $45,400 for the sDrive30i and $47,400 for the AWD xDrive30i. The 6-cylinder M40i model starts at $59,950 and the high-performance X3 M begins at $72,900.

A destination fee of $995 applies to all X3 models.

The pricing of the BMW X3 is very similar to its direct rivals from other German luxury brands, namely the Audi Q5 and Mercedes-Benz GLC-Class. Some more affordable options worth a look include the Acura RDX, Lexus NX, and Genesis GV70.

Driving the 2023 BMW X3

It might be cliche to say it, but when it comes to the driving experience, the X3 is the BMW of compact SUVs. It delivers a rewarding driving experience no matter which engine is under the hood. From the base 4-cylinder up to the mighty X3 M, this SUV will put a smile on your face.

The base engine delivers a blend of power and fuel efficiency that makes it the best choice for the average luxury SUV shopper. However, the enthusiast will want one of the 6-cylinder variants. The M40i gives you much more power and torque without the price going too crazy, and it maintains decent fuel economy.

If you have a high budget for an SUV (and for fuel), then the X3 M is the way to go. Few SUVs in this class can match the performance and poise of the X3 M, especially with the optional Competiton Package, which puts it over 500 horsepower.

Interior Comfort

The inside of the BMW X3 follows the brand’s ethos of restrained luxury. It has a pleasing interior design that uses premium materials. It has an air of simplicity, and it feels very driver-centric.

The interior of the X3 is luxurious by anyone’s standards, but some of its rivals in the same price range are even nicer. Even some more affordable competitors arguably have nicer interiors with similar feature content at a lower price point. If you’re looking for the best interior quality in this class, you may prefer the Audi Q5 or Mercedes-Benz GLC-Class.

As for interior space, the X3 comfortably seats adults in both rows of seats. It’s also among the best in its class regarding cargo space, which strengthens its daily practicality.

Exterior Styling

The BMW X3 has some traditional styling cues like the classic kidney grille, but it looks thoroughly modern. A handsome light signature and bold body lines make it look dignified and upscale, but it’s not too flashy.

The X3’s look can change a bit depending on how you configure it. For example, the models with “M” in the name and the base trim equipped with the M Sport package look sportier with aerodynamic bodywork, unique wheels, and Shadowline exterior trim.

The size of the BMW X3 is in line with the compact luxury SUV class. Its dimensions are very similar to the Mercedes-Benz GLC-Class, Audi Q5, and Acura RDX. In the BMW lineup, it slots in between the subcompact X1 and midsize X5.

Favorite Features

EXCELLENT ENGINES
There are no bad engine options under the hood of the X3. The base 4-cylinder is strong yet efficient, and the available 6-cylinder is offered in three different tunings to pick your level of performance.

IDRIVE INFOTAINMENT SYSTEM
The iDrive infotainment system in the X3 is intuitive and packed with features. The standard 10.25-inch screen has navigation, Android Auto, Apple CarPlay, and a Wi-Fi hotspot.

Standard Features

The BMW X3 is nicely appointed with standard features, as you might expect in a premium SUV at this price point. The standard powertrain is a delightful turbocharged inline-4 mated to an 8-speed automatic transmission. Rear-wheel drive (RWD) is standard, and all-wheel drive (AWD) is optional.

Standard features on the base sDrive30i trim include a power liftgate, auto-dimming mirrors, 40/20/40 split rear seats, LED headlights with automatic high beams, 3-zone automatic climate control, an Anthracite headliner, and dark oak interior trim.

The standard iDrive infotainment system uses a 10.25-inch screen with Android Auto, Apple CarPlay, and navigation. Other standard tech features include HD Radio, a Wi-Fi hotspot, and a 12-speaker audio system.

Standard safety tech features in the X3 include front and rear parking sensors, blind-spot monitoring with rear cross-traffic alert, adaptive cruise control, automatic emergency braking, lane-departure warning, and traffic sign recognition.

Factory Options

One of the most popular options in the X3 is all-wheel drive, which BMW calls xDrive. The AWD-equipped xDrive30i model has a list of standard and available features very similar to the sDrive30i model.

On top of an engine upgrade, the M40i comes with a sporty appearance package, M Sport brakes, a SensaTec dashboard, aluminum interior trim, full LED lighting, an upgraded sound system, and an M steering wheel.

The X3 M is the ultimate in X3 performance with a more aggressively tuned 6-cylinder engine than the one you get in the M40i. It also has some unique interior and exterior touches, an M Sport differential, dynamic damper control, Harman Kardon audio, heated front seats, adaptive LED headlights, and more. The Competition Package adds even more power and torque, plus an M Sport exhaust, an extended Merino leather interior, and more M branding inside.

Many individual options and package packages are available to let you customize your X3 to your liking. For example, the M Sport Package adds a sportier look to the 4-cylinder models, and a Premium Package adds more luxury with features like a panoramic moonroof, a heated steering wheel, heated front seats, a Live Cockpit Pro digital gauge cluster, and more.

Engine & Transmission

The BMW X3 is available with a 4-cylinder or a 6-cylinder engine, both turbocharged. The base engine in the 30i models is a 2.0-liter turbo-4 with a good balance of power and efficiency. Rear-wheel drive is standard, and all-wheel drive is optional with this engine.

Upgrading to the M40i model significantly improves performance with a turbocharged 6-cylinder and standard AWD. Finally, the X3 M comes with a more powerful version of the turbo-6 engine, making over 500 horsepower if you add the Competition package.

Every X3 features a quick-shifting 8-speed automatic transmission.

2.0-liter turbocharged inline-4 (sDrive 30i & xDrive30i)
248 horsepower @ 5,200-6,500 rpm
258 lb-ft of torque @ 1,450-4,800 rpm
EPA city/highway fuel economy: 23/29 mpg (RWD), 21/28 mpg (AWD)

3.0-liter turbocharged inline-6 & 48-volt mild-hybrid system (M40i)
382 horsepower @ 5,800-6,500 rpm
369 lb-ft of torque @ 1,800-5,000 rpm
EPA city/highway fuel economy: 21/26 mpg

3.0-liter turbocharged inline-6 (X3 M)
473 horsepower (X3 M) 503 horsepower (X3 M Competition) @ 6,250 rpm
457 lb-ft of torque (X3 M) 479 lb-ft of torque (X3 M Competition) @ 2,750-5,450 rpm
EPA city/highway fuel economy: 15/20 mpg

KBB Vehicle Review and Rating Methodology

Our Expert Ratings come from hours of both driving and number crunching to make sure that you choose the best car for you. We comprehensively experience and analyze every new SUV, car, truck, or minivan for sale in the U.S. and compare it to its competitors. When all that dust settles, we have our ratings.

We require new ratings every time an all-new vehicle or a new generation of an existing vehicle comes out. Additionally, we reassess those ratings when a new-generation vehicle receives a mid-cycle refresh — basically, sprucing up a car in the middle of its product cycle (typically, around the 2-3 years mark) with a minor facelift, often with updates to features and technology.

Rather than pulling random numbers out of the air or off some meaningless checklist, KBB’s editors rank a vehicle to where it belongs in its class. Before any car earns its KBB rating, it must prove itself to be better (or worse) than the other cars it’s competing against as it tries to get you to spend your money buying or leasing.

Our editors drive and live with a given vehicle. We ask all the right questions about the interior, the exterior, the engine and powertrain, the ride and handling, the features, the comfort, and of course, about the price. Does it serve the purpose for which it was built? (Whether that purpose is commuting efficiently to and from work in the city, keeping your family safe, making you feel like you’ve made it to the top — or that you’re on your way — or making you feel like you’ve finally found just the right partner for your lifestyle.)

We take each vehicle we test through the mundane — parking, lane-changing, backing up, cargo space and loading — as well as the essential — acceleration, braking, handling, interior quiet and comfort, build quality, materials quality, reliability.

More About How We Rate Vehicles

Does the BMW X3 come as a plug

The 2021 BMW X3 plug-in hybrid comes in only one trim, dubbed xDrive30e. It is powered by a turbocharged four-cylinder engine paired to a plug-in hybrid system. Total output stands at 288 horsepower and 310 lb-ft of torque. Power is routed to all four wheels via an eight-speed automatic transmission.

What is the difference between 2022 and 2023 BMW X3?

Since BMW updated the BMW X3 crossover utility for the 2022 model year, changes for 2023 are not extensive. The only change to standard equipment is the addition of keyless entry.

Is there a new BMW X3 coming out?

The current X3 was facelifted in June 2021 so we're not likely to see the next-generation car revealed until the end of 2023, with an on-sale date of 2024. This arrival is an awkward time for BMW as the X3 would just miss out on the introduction of the 'Neue Klasse' platform scheduled to launch in 2025.

Does the 2022 BMW X3 have a hybrid?

X3 M40i Goes Hybrid BMW changed up the X3's powertrain options for 2022 by doing away with the xDrive30e plug-in hybrid trim but also adding a mild hybrid system to the M40i.