BMW’s X3 SUV gets its first update since being introduced as a 2004 model. It receives a makeover for the 2007 model year that includes minor cosmetic changes, added muscle, new features, assorted refinements and a new official name: X3 3.0si.

While the X3 features BMW’s X-Drive all-wheel-drive system, this is not a machine built for off-road exploration. The X-Drive system lacks a low range for serious muck extraction and the suspension doesn’t have the long travel needed to climb boulders. Instead, the X3 is built to deliver an exciting all-weather, on-road driving experience with some of the best steering and handling of any small SUV. And it has an exceptionally eager power plant that, unlike virtually every other small SUV, is offered hooked to a six-speed manual transmission. As in every BMW, the best seat in the X3 is the driver seat.

Less expensive and inherently more nimble than its nominally larger stablemate, the X5, the BMW X3 is based on the acclaimed 3 Series line of compact sport sedans, just as the larger X5 SUV is based on the midsize 5 Series sedan. Unlike the X5, which is built in the U.S., the X3 comes to our shores from Graz, Austria.

Yes the X3 is also luxurious, but in an understated way; there’s very little chrome anywhere on the vehicle and the on-board entertainment system options don’t include video monitors to entertain the children. Instead there are well-shaped seats covered in perfectly stitched hides, easily read instrumentation, sweet wood accents and switches that operate with the precision of a surgical instrument.

Fuel-economy ratings have not yet been posted for the 2007 version, but last year’s model was rated by the EPA to be 17 mpg city/25 mpg highway with the manual, and 16 mpg city/23 mpg highway with the five-speed automatic. Ratings for the 2007 model shouldn’t change significantly.

Exterior styling updates include a new bumper design, a larger kidney-shaped grille and revised headlamps up front. If you order the Cold Weather Package, the included headlamp washers now retract into the front bumper. There’s also new horizontal taillamps with adaptive brake lights that get brighter during panic stops to better alert motorists behind the vehicle) and a new bumper with chrome exhaust tips at the rear.
Exterior styling has been enhanced with new front and rear bumpers and head and tail lamp assemblies. New wheel designs are used and 18-inch wheels become a stand-alone option. The X3 interior also becomes more refined with new dashboard material, wood trim, door panels, and special stitching when leather seats are ordered. The steering wheel also has been redesigned. Sixteen-way “comfort” seats are available and feature a two-piece adjustable backrest. Option packages also have been changed. For example, the Premium package now includes such things as a compass in the rearview mirror, a universal garage door opener, and power-folding and auto-dimming exterior mirrors. The Cold Weather package adds heated front seats and headlight washers.

Standard Engine:

3.0L I6, 24 valve, 260 hp @ 6600 rpm

• 6 speed manual (standard) or 6 speed automatic transmission
• 19 mpg city / 26 mpg hwy
• Green Rating: 60

Standard Features:

• Passenger Airbag Cutoff Sensor
• Hill Descent Control
• Diversity Radio Antenna