In its current form, as introduced in 2010, the BMW X3 is available only with a 184bhp two-litre turbo diesel engine, and although other engines will be introduced in due course this one is still expected to be chosen by 80% of UK buyers. Normally I like to be part of a minority, but I must say I'm with the British public on this one.The last X3 I drove was the now discontinued xDrive35d M Sport which as far as I was concerned had more power than it knew what to do with. The new xDrive20d (I will never get used to these silly names, I won't, I won't) has a lot less but still performs very well in a straight line, with an entirely adequate top speed of 130mph and 0-62mph time of 8.5 seconds, while officially managing 50.4mpg on the combined fuel economy cycle.I doubt that many people will be able to match that last figure in real life, but personal experience suggests that you should at least be able to stay in the mid-40s mpg for most of the time.(Curiously, both the completely and utterly excellent eight-speed - yes, eight-speed - automatic transmission of the car reviewed here and the six-speed manual which you can have instead if you want to save £1525 produce exactly the same numbers in the categories mentioned so far. The automatic is actually slightly better for CO2 emissions, but not by enough to make a difference to the £125 you have to pay each year in Vehicle Excise Duty.The X3 also handles exceptionally well for a large-ish SUV. There are various electronic safety aids, plus electric power steering, Variable Damper Control and a four-wheel drive system which will send power towards the less-stressed wheels in extreme situations, but more important than any of this is the fact that BMW has simply done a good job with the basic mechanics of the chassis. For its type, this is a very sporty car.How much does this matter? It depends, I suppose, on why you started thinking about buying an X3 in the first place. If you want something that handles like this and could use its considerable amount of space (550 litres with the rears seats folded, 1600 litres when they're in place), fine. If you want that space and a BMW badge, fine. If you just want an SUV and you're not too fussed about being able to go round corners quickly . . .Well, okay, you get the space and the fuel economy. But for a car that costs over £30,000 you get a dull and cheap-looking interior, even though BMW has revised it. And the ride isn't up to much - in making the X3 handle as well as it does, BMW has opened the door for it to be compromised every time it encounters a bump in the road. And that engine would be even more likeable if it were a bit quieter.In each of these respects I think the X3 is beaten by the recently revised Vauxhall Antara, a car which I seem to like more than almost anyone else does. On the Antara launch, while being bussed from restaurant to airport, I happened to mention that I preferred it to the X3. A colleague politely expressed a contrary view, and had the good manners not to burst out laughing, though I suspect that in restraining himself he may have put himself at risk of dislocating a rib or two.The point is that he clearly thinks the X3 is vastly better. He is, of course, welcome to his opinion. It's every bit as valid as mine. But although the Antara couldn't hope to keep up with the BMW when being driven hard over an exciting country road, it has a nicer interior, rides better and runs more quietly. The same applies to other SUVs too, though it's fair to say that very few can match the X3 for luggage space. Engine 1995 cc, 4 cylinders Power 150bhp @4000 rpm Torque 243ib/ft @2000 rpm Transmission 6 speed manual Fuel/CO2 39.2mpg / 191 g/km Acceleration 0-62mph: 10.2sec Top speed 123 mph Price From £26446.00 approx Release date 01/10/2004