BMW claims that the E46 3 Series is the most successful generation of this premium compact sedan from its family. There were 3,266,885 units built globally, and that's an impressive performance for a vehicle that was more than just a cheap way of transportation. The truth is that the car's qualities and the vast array of engines, drivetrains, shapes, and options made it an excellent choice for customers. But with most people nowadays looking for the versions powered by inline-six units, the 318i is often forgotten. It was not the most potent model from its family, but its reliability and fuel efficiency outperformed most of its siblings. Moreover, anyone who owned one could say that it didn't cost an arm and a leg to keep it in excellent condition.

The Start Of The Comfortable 3 Series

The third generation of the 3 Series, the E36, was a significant improvement over its predecessor, the legendary E30, a vehicle that every gearhead should own. But despite bringing more power and more features, it wasn't exactly a comfortable car. Its suspension was still stiff, and the legroom for the rear seats needed to be bigger. But, in terms of styling, it was a big step forward. Compared to that, the E46 looked more like an evolution than a revolution. And yet, that's what it was.

The German automaker worked hard to balance the vehicle and make it with a 50/50 weight distribution. That gave the fourth generation of the 3 Series better handling behavior. In addition, the new and improved suspensions increased the comfort level. It was, finally, a car suitable for a family, where the one behind the wheel still tried to enjoy driving. Also, the fourth generation of the 3 Series brought back the all-wheel-drive system that was available on the E30 but ditched on the E36 for no reason other than cost-cutting.

Another significant change was the design. Regardless of the engine version, apart from the M3 E46, all models had the same flared wheel arches and door mirrors. As a result, some could've bought the base trim level and still had a vehicle that looked like the top-spec'd model. Only a keen eye for detail could have seen the difference.

Related: The Engine In This BMW E46 M3 Might Upset Purists

The car came in the U.S. in 1999, and just after two years, BMW introduced the refreshed lineup. There were new headlights, taillights, engines, and transmissions. Unfortunately, since the four-banger 318i didn't enjoy great success on the North American market, that version wasn't sold in the U.S. anymore. It means that there are few of its kind out there to choose from. Yet, those who already had them were happy. OK, maybe not with the car's performance, but the running costs and the insurance were affordable. In addition, the vehicles were well-equipped. Furthermore, retrofitting an older car with newer or upgraded parts such as seats, radio, AC, and so on was straightforward. The only thing that couldn't be adequately installed was the sunroof.

Key facts about BMW E46

• Thanks to new suspension and bushings, the E46 was much more comfortable than its predecessor, the E36.
• At the time of its launch, it had the longest wheelbase in its class.
• Better sound-deadening materials and an improved sound system
• Better safety with stability control + traction (ASC+T)

Not So Fast, But Trustworthy Engines

Usually, those who bought the 318i didn't take it for its performance. They took it for the brand's image, the features, and the safety that it offered. Remember that the ABS became mandatory in the U.S. only in 2004, but that little vehicle had it fitted as standard. In addition, BMW offered its automatic stability control plus traction (ASC+T) system on the 3 Series. Again, most automakers didn't have such a feature in their inventory.

For the transmission, the automaker offered either a five-speed manual or a four-speed automatic. Those who opted for the latter had a big surprise: it was a GM gearbox. Unlike Mercedes-Benz or other automakers, BMW didn't make its own gearboxes. They just went on the market, bought the most suitable one for them, and then installed it in their vehicles. This means that even today, you may find any part for the 4L30-E gearbox made by GM Hydra-matic. Maybe it wasn't the quickest one on the market, but it was bulletproof. Moreover, since it was mated to an engine that didn't produce a huge amount of torque, it could easily endure hard driving situations.

In 2001 BMW refreshed the 3 Series E46. Apart from the aesthetic changes, there were numerous mechanical upgrades. Unfortunately, that led to the dismissal of the 318i from the North American market. Thus, customers were stripped from the possibility of purchasing the improved N42B20 engine that powered the 2002 318i. Maybe it wasn't the best decision made by the German automaker, but considering the expected low volume of sales for this four-banger, it didn't make too much sense to adapt it for the U.S. market. The bean counters from Munchen said no. As a result, there are not too many 318i left in the U.S. of A. Some of them are collecting dust in barns, others are still on the roads, and others are rotting in parking lots waiting for someone to discover them. Or rust in pieces, depending on their luck.

Related: Here's Why We Wouldn't Touch An E46 BMW 3-Series With A 10-Foot Pole

But if you're going to stumble upon one, you should know that there are still parts available for it, if not in the U.S., then in Europe. These engines were easy to maintain and repair, and as time went by, they revealed their strong points and weaknesses. As of today, you won't be able to import and register a 2001 e46 318i in the States. For that, you have to wait at least another two years. Fun fact: it's much easier to get your hands on an e46 m3 than on a 318i, and here are a few things you need to know before buying a used BMW E46 M3.

Engine specs

Every Bimmer Has Its Thorn

BMW installed the M43B19 engine under the hood of the pre-facelifted version of the 318i. This powerplant is also known as the M43TU and was the largest in its family. It shared many of its internals with the M43B18. While that was already a trustworthy engine, it still had some problems that affected the 1.9-liter powerplant as well. One of the most common problems was with the DISA valve that controlled the variable intake manifold. It's not a difficult fix, but it can cause serious trouble if ignored. As expected for such an old vehicle, you'll need to find most hoses and pipes and replace them. Don't even wait for a leak to appear next to the cylinder heads. Just look for a valve cover gasket and sealant to fix it. One thing you don't have to worry about is the timing chain. If the vehicle has less than 150,000 miles, there's still life in it. They tend to cause problems only after 180,000 miles. But other than that, the 318i didn't have major issues. It was just a stubborn engine that could last longer than its inline-six-powered siblings that are available for less than $15,000 on auction sites.

Main issues with the M43B19 engine

• Overheating due to polluted radiator
• Oil leaks
• DISA valve
• Ignition coils

FAQ

Q: Are BMW E46 318i reliable?

The E46 318i is a very reliable car with easy-to-fix problems and affordable parts.

Q: What year E46 is best?

The best year for the E46 is 2000, right before the model's facelift for the inline-four models or 2005 and up for the rest.

Q: What does E46 stand for?

E46 stands for Entwicklung (Development in German) 46, which represents the internal code for the fourth generation of the BMW 3 Series built between 1997 and 2006.

Q: Is the M43 engine reliable?

The M43 engine is very reliable, buy it requires regular maintenance at about 3,000 miles.