It was available as a saloon (sedan), hatchback (coupe and convertible) and wagon (touring).
The E36 had a unique rear axle design with semi-trailing arms instead of the traditional live axle used in earlier BMW models.
This design allowed for better weight distribution, improved handling, and increased stability.
The E36 318i was the base model, powered by a 1.8L inline-four engine producing 131 horsepower.
The M3 model featured a high-revving 3.0L inline-six engine, producing 240-264 horsepower depending on the market.
The E36 had a range of trim levels, including Sport, Sport Edition, and M-Sport, each offering different styling and equipment options.
In 1994, BMW introduced the first six-speed manual transmission in the E36, which improved acceleration and shifted closer to the redline.
The E36 was equipped with the latest technology at the time, including an anti-lock braking system (ABS), traction control (TCS), and a driver's airbag.
Optional features included power steering, central locking, and electronic climate control.
In 1995, BMW added a limited-slip differential to the E36 M3 model for improved traction and stability.
The E36 was the first BMW to feature a built-in alarm system as standard equipment.
It also featured an optional "snow mode" which helped improve traction in slippery conditions by adjusting throttle response and engine power.
In 1997, the E36 received new front and rear bumpers, as well as updated headlamp designs for improved safety.
The E36 was subject to a series of recall notices due to issues with fuel pump failure, faulty ABS sensors, and problems with the traction control system.
Despite these issues, the E36 remains popular among enthusiasts and collectors today, with prices rising significantly over time.
In some markets, the E36 3 Series was also sold as the "BMW Australia" due to local market preferences for longer wheelbases and different trim levels.
The E36 M3 featured a unique interior design with a distinctive dashboard and steering wheel pattern.
It also had upgraded upholstery options, including sport seats and carbon fiber trim pieces.
In 1999, BMW launched the final iteration of the E36, which included updated styling, new wheel designs, and minor mechanical changes.
The last E36 3 Series rolled off the assembly line on May 14, 1999.
During its production run, over 1.8 million units of the E36 were produced worldwide.
In some markets, the E36 was also sold as a diesel model, with a 2.0L inline-four engine producing 115 horsepower.
The E36 had a range of suspension options available, including sport-tuned springs and adaptive dampers.
BMW's "Ultimate Driving Machine" slogan for the E36 focused on its performance capabilities, handling, and driving dynamics.
In the US market, the E36 was sold as both a 1992 and a 1993 model year, due to late introduction in the previous year.
The E36 M3 was also available with a limited-production "Competition" package which added upgraded brakes, a rear spoiler, and sport-tuned suspension.
In some markets, the E36 Touring wagon was sold as a more practical and family-friendly alternative to the coupe or convertible.
BMW's in-house tuning company, Alpina, offered performance upgrades for the E36 including engine modifications, sport suspension, and aerodynamic body kits.
The E36's unique design and handling characteristics helped establish it as one of the best-handling front-wheel-drive cars on the market at the time.
BMW engineers developed the E36's semi-trailing arm rear axle to improve stability and reduce the propensity for wheelspin.
In 1994, BMW introduced an electronic stability control system called "Active Steering" which improved handling stability and driver confidence.
The E36 M3 featured a unique gear ratio in its six-speed manual transmission, designed specifically for high-performance driving.
Some owners opted to install aftermarket suspension upgrades or modifications from companies such as Koni, Bilstein, or KW Suspension to enhance the E36's handling characteristics.
BMW's engineers implemented an electronic system called "Dynamic Stability Control" (DSC) on some models of the E36 which enhanced stability under extreme cornering conditions.
The E36 was available in a range of engine sizes and options including 1.8L, 2.0L, and 2.5L inline-four engines as well as the high-revving 3.0L inline-six found in the M3 model.
Some owners have successfully installed aftermarket turbocharger upgrades on the E36 to increase power output.
BMW's engineers were able to shave off a few pounds from the curb weight by using aluminum wheels, light-weight glass and carbon-fiber roof panels.
The E36 received several facelifts during its production run, with major changes made in 1995, 1997, and 1999.
In some countries, the E36 was sold as a budget-friendly alternative to other models by offering stripped-down specifications or lower-spec engines.