BMW X3 vs Lexus RX

What's the difference?

If a BMW X3 is for you, then we have no quarrels with that. It’s a better all-round vehicle than the one it replaces and represents better value. And even though BMW mandates a hybrid driveline, there are still some significant choices within that framework.

By all means buy the M50 if you crave the rush of acceleration that almost 300kW can provide. And if efficiency is your altar of choice, then the plug-in 30e makes a lot of sense, too.

But even if you can afford either of those two more expensive variants, whatever you do, don’t dismiss the entry-level 20 model. At least drive it alongside the others and then make a decision based on all the facts, and not the assumption that entry-level equals the car you afford rather than the car you want.

It might be cheaper, but there’s absolutely no doubt that the 20 model is the one that shines and arguably makes the most of the opportunities BMW’s latest tech offers.

Sometimes less really is more.

Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.

It’s hard to look past the value equation of the RX350h Luxury 2WD when comparing it to almost all its competitors. The pricing is on point, but there are some features missing.

However, there are very few (if any) rivals with a true hybrid powertrain (sorry, mild hybrids do not count), so the RX will capture buyers looking for environmental credentials and efficiency without going full EV.

The drive experience is much better than before and it’s all wrapped up in a very stylish package. The Lexus RX should not be ignored.

It might be badged an X3, but this is no small vehicle. In fact, it’s bigger than the original BMW X5 (which set the tone for this entire market segment) with a length of 4755mm (4667mm for the first X5) and a width of 1920mm (1872mm). That said, it’s 25mm lower than the outgoing X3 in a move to emphasise its sportiness. Shorter it may be, but it’s also 16mm wider on the front track and 45mm wider on the rear than the outgoing model.

BMWs latest styling cues also appear in the new car, including the large, split-kidney grille that, for Australian-delivered cars, is also lit around its edges. The short overhangs that characterised the original X5 (and soon characterised this whole BMW genre) remain, and the T-graphic LED tail-lights round out the stylistic touches.

The other thing we noticed (and we’ve seen it on other cars recently) is a panoramic sunroof that doesn’t actually open.

Across its five generations, the RX has held significant visual appeal - especially the still-handsome second-gen version that was the first RX sold Down Under. The first-gen model skipped Australia.

The new model that launched in 2023 is a clear evolution of the car that came before, but it’s been softened and sharpened in the right areas, giving it one of the most appealing designs in its segment.

The proportions and design elements like the squat stance, unique C-pillar treatment, slimline headlights and nicely sloping roofline give it a sporty look.

In fact, I reckon it might be the best looking Lexus available today - not including the jaw-droppingly beautiful LC coupe and convertible, of course.

The interior is modern and feels like an evolution of Lexus’ previous cabin design - but elevated. The gloss black section of the dash helps here.

Levels built into the dash break up the bulk, but the interior is very grey. It could do with a dash of colour.

The synthetic leather seat trim doesn’t look premium. If you want a more expensive feeling RX, you need to pay more for a higher grade.

Cabin space is plentiful in the X3 with loads of room in the front, possibly thanks to the dashboard that is pulled back from you with only the twin screens and steering column offering themselves up to the driver. Even the air-vents are somewhat hidden. There’s good vision out and the seats themselves are lovely. The step into the cabin feels to be at just the right height, too; not too high, not too low.

Rear seating is good, too, although the X3 will always be better as a four seater than five thanks to the shape of the rear bench, but the glass roof opens the space up and there’s plenty of charging points and storage nooks. The sun blinds on the rear-side windows of the more expensive versions should be standard kit on every car sold in Australia.

We’ll take exception to the new gear-selector which doesn’t have a defined Park position and instead relies on applying the park-brake to engage Park. But the ambient light and contrasting cabin colours are a bit of a breath of fresh air.

There are levers in the cargo area to quickly fold the rear seats (60:40) at which point luggage space jumps from 570 litres in the mild hybrid cars to 1700 litres. The battery-pack of the 30e model means that luggage space starts at 460 litres and can be expanded to 1600 litres.

The latest version of BMW’s sometimes controversial iDrive operating system is simpler and easier to use than before and supported by a new operating system, but there’s still some familiarisation necessary. One improvement has been the addition of QuickSelect which works somewhat like the old favourites button system and gets around the need to drill into menus to access the functions you want.

A head-up display is a terrific addition, although where some displays are more tolerant of polarised sunglasses, the HUD in the BMW didn’t like mine and went dark at the most inconvenient angles.

None of the X3 variants feature a spare tyre of any sort. The 19-inch tyres on the base grade are run-flats, while everything else gets a repair kit for roadside emergencies.

If you want to tow, the good news is that all X3 variants can do so. But you will need to purchase the $2200 towing package which enables the X3 to haul a trailer weighing up to 2000kg with a maximum tow-ball down-weight of 200kg.

The RX is a five-seat only proposition in this generation - the previous model had a seven-seat option - so if you need a third row you can look at the Lexus LM people mover or massive LX 4x4 SUV, or at any number of other three-row lux SUVs like the Volvo XC90 or new Mazda CX-90.

That doesn’t mean the cabin isn’t practical. 

Up front the seats offer excellent comfort levels and ample upper body support, but not a lot of hip support.

Lexus has changed up the door handles for the new RX and it can be complicated - initially.

The interior handles bamboozled every new person that got in my press car over the three week loan. But once you realise it’s a simple push of the thumb on the handle’s thumbpad and a gentle push, it all makes sense.

Lexus calls the electrically activated door handles an ‘e-latch’. Is it tech for tech’s sake? Probably. 

I recently reviewed the Lexus LM and commented on how much I like Lexus steering wheels and that’s true of the RX, too.

It has clearly identifiable controls and feels nice in your hands. Thankfully, the cruise control buttons are housed on the wheel too, so no annoying stalk on the wheel.

There’s plenty of space across the front row so you should avoid the awkward driver-passenger elbow bump on the centre armrest.

Under the armrest is a huge central bin that opens on the driver and passenger side. There’s also a big covered storage nook forward of the shifter and another ledge above that, as well as a sizeable glove box. 

The doors have ample storage room for bottles, but the space is almost too wide. My bottle slid around when driving so I had to lay it down.

The centre console houses two big cupholders with adjustable depth in one of them. Clever touches like this and the central bin add to the appeal.

As with the Lexus LM, I am a fan of the new Lexus multimedia set-up. It has an easy-to-navigate menu along the side, easy wireless Apple CarPlay connection, and visually appealing graphics.

It’s a world away from Lexus’ previous system. That frustrating touchpad is, thankfully, in the bin.

I quite like the gear shifter with its unusual gate and even the indicator feels and sounds premium.

Small rear windows make for a rear three quarter blind spot, but visibility is otherwise good.

On a side note, the RX has very strong air conditioning - perfect for an Australian summer.

Jumping into the second row, there’s plenty of space all around and no shortage of head, leg, knee and shoulder room. Although foot room under the front seats is tight.

As with the front seats, the rear row offers comfortable seating. Kids should be happy back there.

There’s only a small transmission tunnel so middle-seat legroom is good. And in great news for passengers, the rear backrests recline. 

Lowering the 40/20/40 split-fold rear seats for more cargo space is done via a lever on the side of the outboard seats, or by a button in the boot area. There are ISOFIX clips on the two outboard seats.

Other amenities in the second row include map pockets, two USB-C ports, knee-level air vents, climate control, and a pull-down armrest with pop-open cupholders.

Open the power tailgate and you’ll find cargo space of 612 litres with all seats in place, or 1678L with the second row stowed.

That’s a decent amount of space but not class leading. The Mercedes-Benz GLE has 630L and the VW Touareg can swallow 810L.

There’s no under-floor storage because that’s where some hybrid hardware is housed. You will find audio speakers, nice carpet, a cargo blind, two 4.0kg hooks and three top tethers. No spare, only a tyre repair kit.

The range-opening RX350h Luxury 2WD petrol-electric hybrid starts at $86,904, before on-road costs, and for that amount, the standard specification list is healthy. But it doesn’t include everything.

As well as a long list of standard safety gear (see section below), the RX350h comes with three-zone climate control, heated and eight-way adjustable power front seats, electric steering wheel adjust, rain-sensing wipers, a 14-inch multimedia set-up with wired Android Auto and wireless Apple CarPlay, digital radio, sat nav, a 12-speaker audio system, five USB-C (and one USB-A) ports and more.

It is missing a few items, however, that should be standard, such as a head-up display and wireless device charging. Those features are available as part of an options pack - or 'Enhancement Pack' in Lexus speak.

For $5000 more you get those two things and a panoramic sunroof, ventilated seats, a more digital instrument cluster and other goodies. 

You can opt for an all-wheel drive version of the 350h and that adds just over $3500 to the price. If you want the same powertrain but more gear then you’ll need to step up to the $110,575 Sports Luxury.

There’s also the petrol-only RX350 in F Sport and Sports Luxury guise, as well as the flagship RX500h F Sport Performance hybrid that tops out at $124,675.

Looking at the opening price of some of its rivals, Lexus has most of them beat.

The Mercedes-Benz GLE300d starts from $144,900, the BMW X5 xDrive30d is $134,900, Porsche Cayenne starts at $138,700 and the Volvo XC90 B5 Ultimate Bright kicks off from $100,990.

Only the Volkswagen Touareg 170TDI ($89,240) and Jaguar F-Pace P250 R-Dynamic ($83,700) are close on price.

Hybrid tech across the board is the key phrase here, with the base-model 20 xDrive fitted with a mild hybrid electric motor and battery pack that works in conjunction with the 2.0-litre, turbocharged petrol four-cylinder engine. Power is 140kW and torque 310Nm. Like most mild hybrids, the electric motor offers power regeneration during braking, a mellow (by EV standards) kick in the pants during take-off and acceleration and also acts as the car’s starter motor.

The performance flagship, the M50 xDrive taps into the same technical philosophy with a mild hybrid augmenting the turbocharged six-cylinder inline petrol engine. In this case, however, peak power is a hefty 293kW and torque maxes out at 580Nm.

The most technically adventurous X3 is the 30e xDrive which uses plug-in hybrid tech to offer a claimed 91km of electric driving, about twice that offered by the original X3 PHEV it replaces. When the same 2.0-litre four-cylinder petrol as fitted to the 20 xDrive, and the electric motor are humming along together, there’s 220kW of power and 450Nm for the taking. The PHEV X3 can run in purely electric mode at up to a claimed 140km/h.

All variants use BMW’s familiar eight-speed automatic transmission and in each case, drive is sent to all four wheels on a permanent basis. Interestingly, the 30e and M50 versions package their electric motor as part of the engine-transmission combination. The 20, meanwhile, places its electric motor externally, as part of the drive-belt rotating assembly.

The M50 model has an M button that unleashes the full performance with one touch, and features an electronically locking rear differential in the interests of high-speed turn-in.

Adaptive suspension that varies the degree of damping is also part of the package on each X3 variant.

Powering the RX350h is a series parallel hybrid system consisting of a naturally aspirated 2.5-litre four-cylinder petrol engine, a front-mounted motor and a nickel-metal hydride battery. 

Lexus doesn’t provide combined torque outputs for the hybrid, but total power for the system is pegged at 184kW.

This drives the front wheels only via a continuously variable transmission (CVT).

As you might expect, the PHEV 30e model is the efficiency superstar of the X3 line-up with an official combined test figure of just 1.6 litres per 100km and 38 grams of CO2 per kilometre. The four-cylinder 20 xDrive is not bad for its size at 7.5L/100km (and 171g), yet the bruising six-cylinder M50 version with all that performance is not too far behind with an official figure of 8.2L/100km (187g).

The 30e PHEV features a selectable battery-saving mode as well as the option of forcing EV-only running. It features a 19.7kWh battery and BMW claims it can charge using a three-phase, 11kW socket from empty to full in two hours, 15 minutes. It does not make use of fast-chargers.

Exactly how far you’ll travel in the PHEV model will depend hugely on how and where you drive. On long, open road journeys, fuel consumption won’t be much different to the others, but with just a 50-litre fuel tank, it’s range won’t be stellar. But in urban running where the batteries are being recharged for free as you brake, the difference will be significant. Meanwhile, with a 65-litre fuel tank in the mild hybrid grades, the theoretical range (based on the official fuel number) is 865km and 765km for the 20 and M50 respectively.

While BMW recommends premium fuel for maximum efficiency, it also says that each X3 variant will not be harmed by the use of standard ULP if that’s all you can get hold of.

The official combined cycle fuel consumption figure for the RX350h 2WD is 5.0 litres per 100 kilometres, with CO2 emissions of 114g/km. You won’t get figures like that in a petrol or diesel competitor.

Over three weeks of mixed city, country, urban and freeway driving, I recorded 6.8L/100km which is not too bad given some of my spirited driving. The trip computer said 7.0L which is close to my figure.

The RX350h takes premium unleaded petrol and has a 65-litre fuel tank, so expect a range of around 950km based on our real-world consumption number.

Big heavy SUVS like this one haven’t always been too dainty on their feet. The extra bulk and height mean suspension has to be firmer, the big wheels and subsequent loss of tyre sidewall depth plays against ride quality and before you know it, the compromises have piled up and the driving experience has gone to hell.

This time, however, BMW’s claim that the X3 was designed from the start as an SUV and not converted from a sedan platform seems to hold water. There’s an overall greater sense of cohesion in the way the car steers and flows through corners and faster bends. The steering feel and feedback are a big part of that, too, and the whole seems at least as great as its parts.

The M50 is, predictably, a rocket with loads of accessible acceleration and a great noise while you’re enjoying it. That said, the 21-inch wheels and tyres don’t do anything for ride quality, but it remains an entertaining performance car in a familiar, ICE kind of way.

The plug-in is also perky with its 220kW on tap, but it’s less old-school and more techy. And while you can’t pick the point at which ICE hands over to electric and vice-versa, sensitive drivers will absolutely know that there’s a big dollop of electrical assistance when your right foot starts asking the tough questions. It definitely feels more overtly hybrid, though that shouldn’t be any kind of surprise, purely because that’s precisely the case.

Which brings us to the 20 entry-level grade. And while it’s going to be a controversial statement, this emerges as the most cohesive, rounded variant of the new X3. There’s something in the way the fizzy, bubbly (but very smooth) 2.0-litre four-cylinder provides more than enough urge, but never threatens to dominate the dynamics.

With less weight over the front wheels than the M50, and less weight overall than the PHEV, the 20 corners flatter, steers more intuitively and is simply more fun more of the time. Even on the optional 20-inch tyres, it rides better than the others, too, and might even be better again with the standard 19s other than the fact that those are run flats and we didn’t get try them.

The old RX was competent and even nice to drive but not a patch on the likes of the BMW X5. The new-gen RX improves on that in a big way.

It offers solid acceleration from a standing start. Lexus says 8.1sec from 0-100km/h - without giving you chills. The sportiest RX is the 500h Performance hybrid and that covers the same distance in 6.2sec.

The transition from electric power to petrol propulsion is more evident in this model than it was in the LM350h people mover I tested recently - the RX is a little noisier. The CVT doesn’t help this, offering up an uninspiring engine note.

It is, however, a much more fun car to push into tight bends than the previous RX. It remains reasonably flat in corners, and pulls out of tem with ease, but can’t compare to the dynamics of the dearly departed IS sedan.

The 19-inch tyres have large sidewalls and as a result soak up harsh bumps on the road. The non-adaptive suspension is tuned for better dynamism, meaning the ride quality is on the firm side.

The front-wheel drive RX lost traction for a second on a sweeping uphill section of my drive route, but the electronic traction systems otherwise kept the big SUV in check. 

But around town in urban areas, there is very little to complain about behind the wheel of the RX350h.

The RX comes packed with standard safety gear and the SUV was awarded a maximum five-star crash safety rating from ANCAP in 2022.

Just some of the inclusions are auto emergency braking with pedestrian (day/night), cyclist (day/night) and motorcyclist (day) detection, intersection assist, emergency steering assist, driver monitoring, lane keeping aid and lane departure warning, adaptive cruise control, front and rear parking sensors, blind spot monitor (including stationary) with rear cross-traffic alert and safe exit assist to avoid 'dooring' incidents. 

I must say, Lexus’ (and parent company Toyota’s) driver assistance tech has come a long way.

In the early days of the pandemic during a rare non-lockdown period in Melbourne, I drove from Melbourne to Sydney in the previous-generation Lexus RX200 Sports Luxury.

The lane keeping system and adaptive cruise control were shockingly underdone. The cruise control would simply stop working when you encountered even a slight downhill section. 

Not anymore. The new, smoother lane keeping set-up uses subtle wheel adjustments, unlike the ping pong effect of the previous RX, and the cruise system is now very much in control of the speed.

The Lexus safety suite now operates without too much intervention and is hard to beat among its key rivals.

BMW’s warranty on the X3 is the company’s usual five-year/unlimited kilometre deal. But in this case, there’s also a six-year/100,000km warranty on the high-voltage battery.

Also typical for BMW is the service interval which is not a set time or distance and instead is determined by how the car has been used. It’s called condition-based servicing and it’s nothing new at BMW.

There’s also capped-price servicing available. For the X3, the five-year/80,000km service package is $2475.

The RX350h is covered by a five-year, unlimited-kilometre warranty, and the servicing schedule is every 12 months or 15,000km.

There’s a capped-price servicing plan lasting five years and it will cost $695 per service. That's significantly less than some rivals like the Mercedes GLE.

The RX is covered by the 'Lexus Encore' loyalty program and includes complimentary service loan cars, fuel offers as well as discounts and other offers with Lexus partners.