10 Things Every Enthusiast Should Know About the E46 BMW M3

Sleek, sporty, and luxurious are three ways to describe the E46 BMW M3. Crafted out of hard work and passion from the geniuses at BMW from 2000 to 2006, the third generation of the BMW M3 thrilled car enthusiasts of all kinds, but why? For starters, it was equipped with a powerful inline-six that had a max output of 343, while the E46 M3 CSL had a little more at 360 horsepower. Needless to say, it was a force to be reckoned with.

Some of the features that changed from previous generations were welcomed with open arms. Things like widened fenders, sporty side skirts, and a redesigned front apron made sure this car was noticed by everyone who saw it. Even the design of the bonnet hinted at the powerful engine located beneath. This car was way more powerful than most people would have expected it to be. There’s a good chance, however, that you already know these based E46 facts, so let’s get into the things you don’t know about the BMW E46 M3.

Related: Is The E46 BMW M3 The Best M Car Ever?

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10

The E46 Was Only Available As a Coupe And A Soft-Top Convertible

BMW

Imola Red BMW E46 Driving 

The E46 M3 was launched only as a coupe at first. But in 2001, BMW released a more stylish convertible version which came with a soft-top. It makes sense, though. Since it was built for speed and performance, you wouldn’t necessarily be using it to take the family to the beach. There was an M3 sedan in 2008, however, that was part of the fourth-generation, E90/E92/E93 M3 lineup. So if it was an M3 sedan you wanted, you either didn’t buy this car, or you had to wait for the fourth-gen to launch. Obviously, with a car like the E46, waiting might not have been the best option since these cars were and still are coveted by enthusiasts.

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Three quarters angle shot of a black BMW E46 parked 

 

The E46 had a solid run from 2000-2006. During this run, there were 85000 E46 M3s sold, making it the best-selling M3 at the time of writing. This car was so successful that, even 16 years after its release, it still sells for high prices on the used car markets. You can find some in good shape as low as $7,000 and some still selling at prices upwards of $60,000. Knowing that the base price of the coupe was around $45,000 in 2000, it really shows just how much these cars mean to enthusiasts around the world if they are going for prices higher than what they sold for at launch.

Related: BMW M3 E46 – Performance, Price, and Photos

8

The E36 M3 Had An Automated Manual Transmission (SMG)

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An interior image of the E46 BMW M3 Convertible with a manual transmission

The BMW M3 launched with an SMG transmission. SMG stands for Sequential M Gearbox. The SMG transmission is a 6-speed manual transmission where the clutch and the gearbox are operated by computer-controlled electrohydraulics. You can either use the flaps behind the steering wheel or move the shifter backward or forward to change gears. Because of the way this transmission operated, there was no clutch pedal. This design made it great for track speeds and shifting, but it was known to cause issues during daily driving and is commonly swapped out with the traditional six-speed manual transmission.

Blue BMW, taken from TopSpeed picture database

A side shot of a Blue BMW E46 M3 with bonnet and doors open

The E46 generation of the M3 brought specific changes to the roof and hood of these cars. The hood was made from aluminum alloy that weighed less, while the roof was made from carbon fiber. Just like the hood, materials in the car’s construction were modified in order for the car to have better speed and acceleration. Not only is carbon fiber a very durable material, but it is also extremely light. This makes it the perfect material for sports cars. It’s small changes like these that really made the difference between other cars and the M3. There’s just nothing like them.

Related: BMW M3 CSL E46 Shows What It Can Do On The Autobahn

6

There Were American- and Euro-Spec Versions Of The E46 BMW M3’s Engine

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Open-hood view of the E46 BMW M3’s inline-six engine. 

When the previous generation of the M3 was launched in the U.S., buyers were disappointed that the engine in the BMW M3 was different and had a lot less horsepower than its European counterpart. When this generation came out, U.S. buyers were luckier than they were before. The model of the M3 that they got had a US-spec S54 engine that came with 333 horsepower as opposed to the Euro’s 338 horsepower. U.S. buyers were definitely satisfied this time around with the third generation of the BMW E46.

5

The E46 Was Made To Be Lighter Than Ever

G-Power

Side shot of a White BMW E46 M3 parked

To help decrease weight and improve performance, The E46 M3 did not come with air conditioning. The windows were made thinner in order to accommodate less weight and higher speeds. Even the soundproofing material was taken out of the car. With all of the above taken out, and then some, this car weighed about 240 pounds less than the previous generation. The E46 also had more power under the hood as well, making the combination of raw power and a lighter weight a devastating combo.

Related: This Video Review of the 2003 BMW E46 M3 Will Take You Back to Simpler and Better Times

4

The E46 M3 Was The Second To Be Offered With A CSL Badge

BMW

A front 3/4 shot of a BMW M3-E46-CSL

CSL stands for “coupe sport lightweight” and we can see with the aforementioned changes that were made to the M3 that it was well deserved of this badge. The only other time that BMW used this badge for its cars up to this point was when it released its homologation models. Not only that, but only about 1,400 of these CSL M3s were made – something that makes them super rare and highly desired by BMW enthusiasts alike. Good luck getting your hands on one of these babies without breaking the bank.

3

The BMW M3 Was Upgraded in 2003

BMW

Front shot of a yelow BMW E46 driving

Given the success of previous M3 models, BMW took a lot into account when it decided to give the M3 a facelift in 2003. These were already near perfect and didn’t need much changed on them. But times were a-changin’ and so things about the M3 needed to be re-evaluated. There wasn’t much to change on the E46, but slight changes were made, including LED lights installed in the rear for better visibility. There was also a Bluetooth phone interface available, as well as two more color options.

2

Vanos: The E46 M3 Isn’t Without Its Problems

BMW

A side action shot of a BMW E46 parked near some houses

While this car was known for many positive things, there were also some negative things to worry about when buying an M3. With high mileage, the engines are known to develop issues with their throttle body, solenoids, and Vanos system. This was due to the high-revving nature of the car. But like most problems on cars, these could be attributed to improper maintenance of the car and not necessarily manufacturer defects. So if you’re in the market for an E46, make sure that whoever you’re buying from has ample maintenance records on hand.

Related: BMW And Roadsters: The Unholy Combo That Never Went BMW’s Way

1

The E46 BMW M3’s Interior Is A Pain To Maintain

Prior Design

A three quarters shot of a white BMW E46 parked on a road

This generation of the M3 had interior items and parts that were unique to this make and model. For example, the seats are different from other models, some of the instrument clusters are different, and even the rearview mirror is unique to this generation. Since these cars are coveted by collectors, anything that might break in the interior is going to be difficult to find and expensive to replace. So if you’re planning on buying one of these cars, then make sure everything is in good condition before buying. If not, you may end up paying out of pocket for cosmetic things that are difficult to find in good condition. Do your due diligence.

FAQ

Q: Is the BMW E46 A Good Car?

The E46 BMW M3 stood the test of time and is still coveted by collectors.

Q: Why is the BMW E46 So Special?

A lot of important upgrades made the E46 M3 better than its predecessor

Q: How Much is a BMW E46 Worth?

Depending on upkeep and the overall condition of the car, you can look to spend anywhere from $7000 to $60,000 on this car today.

Q: Which BMW has E46 Engine?

The BMW E46 M3.

Q: Is the BMW E46 an M3?

The E36 generation is the fourth-generation BMW M3

Q: What years was the E46 BMW M3 produced?

The E46 BMW M3 was produced from 2000 to 2006

Q: Is the BMW E46 Expensive today?

Depending on the maintenance history and overall condition of the car, the E46 BMW M3 can sell for upwards of $60,000 in today’s market.