The next-generation BMW M3 is shaping up to be something increasingly rare in today’s performance-car landscape: a brand-new sports sedan that refuses to abandon its soul. As the automotive industry races toward electrification and tighter emissions regulations, BMW M is doubling down on the formula that made the M3 an icon—a turbocharged inline-six, a driver’s car philosophy, and, if all goes according to plan, a manual transmission.

2027 BMW M3 Isn’t Giving Up on Gas—or the Manual
Spy shots from the Nürburgring have already confirmed that BMW is deep into testing the next combustion-powered M3, but the biggest surprise isn’t hidden beneath the camouflage. It’s the fact that BMW M still sees a future for three pedals.
Speaking during the Goodwood Festival of Speed, BMW M CEO Frank van Meel made it clear that the manual gearbox remains an emotional cornerstone of the M brand.
“We intend to keep the manual as long as possible,” he said.
That’s no empty promise. In the United States—a market that has long embraced automatic transmissions—buyers are splitting M2 sales almost evenly between manual and automatic models. For BMW, that’s proof enthusiasts still crave the physical connection that only a clutch pedal and gear lever can provide.
Van Meel admits keeping manuals alive is becoming increasingly difficult. Suppliers are disappearing, modern driver-assistance systems complicate drivetrain integration, and mild-hybrid technology introduces new engineering hurdles. Still, BMW isn’t ready to surrender.
For a company that built its reputation on driver engagement, preserving that tactile experience matters just as much as chasing lap times.
The S58 Lives On
Perhaps even more important than the gearbox is what sits under the hood.
Rather than downsizing or adopting a plug-in hybrid setup like many of its German rivals, BMW is sticking with its celebrated 3.0-liter twin-turbocharged S58 inline-six. That’s becoming something of a statement.
Mercedes-AMG replaced its beloved V8 in the C63 with a four-cylinder plug-in hybrid. Audi’s latest RS5 also embraces electrification alongside its V6. BMW, meanwhile, is betting that enthusiasts still want an engine that delivers character before complexity.
Getting the S58 ready for Europe’s stringent Euro 7 emissions regulations wasn’t easy.
BMW engineers completely revised the combustion process using pre-chamber ignition technology—a system that creates a high-energy flame jet before combustion reaches the main cylinder. The result is cleaner combustion, improved thermal efficiency, lower emissions, and even the ability to run a higher compression ratio without destructive engine knock.
The updated engine also receives new variable-geometry turbochargers and enhanced cooling, allowing BMW to maintain the current M3’s impressive output of 523 horsepower while meeting tougher environmental standards.
Perhaps best of all, BMW says the revised engine produces an even richer induction note and a more aggressive exhaust soundtrack at high rpm—a welcome bit of good news at a time when many performance cars are becoming quieter and more filtered.
Cooling Is the New Horsepower
Making power isn’t the challenge anymore.
Keeping temperatures under control is.
Van Meel says sustained track performance remains a priority, forcing engineers to redesign the cooling system around larger intercoolers and more efficient airflow management. That’s one reason the next M3 prototype wears an unusually large front grille—not simply for styling, but because modern high-performance engines demand serious cooling capacity.
It’s a reminder that today’s performance engineering is often less about extracting another 20 horsepower and more about ensuring the engine can repeatedly deliver every one of its existing horses.

An EV Twin—Not a Replacement
The next M3 won’t exist in isolation.
BMW will sell it alongside a fully electric M3 based on the Neue Klasse architecture. Although the two cars will share nearly identical styling, they are fundamentally different beneath the skin.
The electric version will use a flat floor and advanced underbody aerodynamics, while the gasoline-powered M3 retains its quad exhaust outlets and traditional drivetrain layout. Aside from subtle aerodynamic differences and the larger cooling openings up front, they’ll look remarkably similar.
BMW isn’t positioning one as the successor to the other.
Instead, it’s letting buyers decide.
Some customers will choose the emotional appeal, mechanical soundtrack, and familiarity of internal combustion. Others will embrace the instant torque and new performance possibilities of electric propulsion. BMW believes both groups deserve an authentic M experience.
The Wagon Lives to Fight Another Day
For enthusiasts who refuse to compromise practicality for performance, there’s more good news.
BMW has confirmed that the M3 Touring will remain part of the lineup.
What began as a niche enthusiast favorite has become one of BMW M’s biggest surprises. The high-performance wagon has found unexpected success in China, while the larger M5 Touring has exceeded expectations in the United States—two markets that historically showed little interest in fast wagons.
For Chinese buyers, the M3 Touring is even more significant: it’s currently the only way to own a 3 Series wagon.
Car and Driver Take
The next BMW M3 could end up being one of the final great internal-combustion performance sedans—not because regulations demand it, but because BMW is choosing to fight for it.
While competitors chase electrification with increasingly complex hybrid systems, BMW is investing in making its inline-six cleaner, stronger, and more engaging without sacrificing what enthusiasts love most. The possibility of a manual transmission surviving into the next generation only reinforces that philosophy.
Yes, an electric M3 is coming. It may even be quicker.
But if BMW delivers on its promise, the combustion-powered M3 won’t feel like yesterday’s technology clinging to relevance. Instead, it’ll stand as a celebration of everything that has made the M3 one of the world’s benchmark sports sedans for nearly four decades.
And in an industry rapidly moving away from analog driving experiences, that might be the boldest move BMW M could make.
Source: Autocar