Tesla Model 3 vs BMW 218i

What's the difference?

The Model 3 Performance is one of those cars that’s undeniably impressive in almost every way, and hugely fast in absolutely every way, and yet can somehow still leave you feeling slightly cold. Or at least damp with fear sweat.

It’s not my kind of sports car, but if you love speed, and EVs, and Tesla, you’re gong to think it’s the Queen Bee’s knees.

Publishers: Please place the following in BOLD after the verdict:

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

The badge might say one thing, but the 2 Series Gran Coupe sticks to the time-honoured template of being a compact yet comparatively practical three-box, four-door sedan, complete with a big boot.

More importantly, it drives and behaves like a BMW – which means sufficient-to-strident performance depending on grade, athletic dynamics and pleasing refinement on one hand, as well as a stiff price and a hard ride on the other.

A true BMW in name and nature, then..

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

Tesla’s design folks waxed long and loud about how they’d finally been able to visually lift and separate this Performance Model 3 from the basic one and they point to the new front and rear fascias, more aggressive styling, aerodynamic flicks, integrated cooling ducts, rear diffuser and carbon-fibre spoiler, which are there not only to look good, but to to “optimise lift balance and high-speed stability”.

Now, I’ll grant you it’s better than a normal Model 3, and that we were regularly approached by excited Tesla fans asking “is this the NEW PERFORMANCE OH MY GOD I WANT ONE NOW?!?"

But honestly, I still think it’s a bit subtle, and that includes the strange little 'Performance' sticker/badge on the rear, which does look a lot like the Ludicrous symbol that Elon loves, from the awful movie Spaceballs, but Tesla staff insist it’s not, nor is it Plaid. 

Clearly, the design tweaks are there for a reason, and train spotters will note the differences immediately, but it’s still just not the most exciting car to look at, nor is it anywhere near as exciting to behold as it is to drive.

BMW is calling the F74 a new-generation 2 Series Gran Coupe, and there have been obvious and even profound changes throughout and underneath, including to some of the sheetmetal.

But this is not an all-new car by any stretch, with the glasshouse, doors and roof amongst many other body items carrying over from the F44.

That now remarkably Kia Cerato-esque nose ushers in new LED lighting motifs and an updated kidney grille, but whether they sit easily with the rest of the car is debatable. Redesigned tail-lights, different colours and new alloys make up the majority of the exterior changes.

Betraying the latest 2 Series Gran Coupe’s newness claims are near-identical dimensions, with that redesigned front end and bumpers contributing to a 20mm increase in the F74’s 4546mm length, while revised suspension and damper settings help account for the 25mm boost in height (to 1445mm). The BMW’s 1800mm width and 2670mm wheelbase remain the same.

There’s a higher level of newness to be found inside.

Inside, the big news is the new seats. Tesla was happy to admit the pews fitted to the previous Performance just weren’t up to the job of holding humans in place when applying so much G force. 

The new 'Sport Seats' feature enhanced side cushioning and side bolsters for better lateral support during dynamic driving. And they can also be heated and ventilated. 

Elsewhere, there’s some carbon-fibre trim on top of the dash, with a Tesla-first weave pattern to further help the Performance stand out within the Model 3 line-up.

Other than that, it’s pretty standard Tesla sedan, which will be familiar if you’ve ever caught an Uber in Los Angeles. Spartan, minimalist, slightly cheap-feeling.

As for the practicality of the tech, I'm still against the giant 15-inch tablet-style touchscreen, for everything, the replacement of an indicator stalk with buttons and not having a speedo right in front of your eyes, where you need it.

During the media presentation at its launch, BMW described the 2 Series Gran Coupe as being almost as large as a 1990s E46 3 Series, and it is in all major dimensions except wheelbase.

Plus, being a front-drive-biased/transverse engine proposition instead of rear-wheel drive should make it roomier than the F74’s iconic ancestor.

The sense getting in is that this is certainly not too low or cramped as per a more-traditional coupe, with plenty of space for legs and shoulders, while even the optional sunroof fitted to our 218 left us with headroom to spare.

The redesigned dash is a visual and operational treat, with crisp, clear instruments, a logically presented and intuitive centre display screen offering fast and easy operation, excellent ventilation and ample storage. Full marks here.

Better still, attaining the perfect driving position is possible for most people, on brilliantly supportive front seats. This is the stuff BMW does right.

Improvement suggestions for the next update? Some people may complain about the somewhat less-than-premium feel of some of the lower-lying plastic trim; not everybody will love the swatches of colour stitching (we love it); why does the steering wheel have to be so wide-of-rim? Side and rear vision is restricted by fat pillars, rising shoulder lines and a shallow rear window; and there is quite a bit of road noise that enters the cabin at speed.

Still, even the back seat is sufficiently spacious for most users, with the sole exception of taller folk having to negotiate a sloping rear roofline. If you’re below 180cm, this should be fine. Most amenities minus overhead grab handles are also fitted.

Further back, the boot is surprisingly accommodating, with 430 litres of cargo capacity that’s enhanced by a 40:20:40 split-fold backrest, and the aperture should be big enough for bulkier loads, but the lack of a spare wheel will be bad news for many buyers. The supplied tyre-repair kit is just not good enough.

But, you know what is good enough? The engines BMW builds, that’s what.

This depends on how much you buy into this being a sporty Gran Coupe rather than a small sedan.

From $59,900 (all prices are before on-road costs), the German-made front-wheel-drive 218 base grade is slightly cheaper than the previous 218i equivalent, yet gains more kit. It also matches the A200 Sedan and costs a bit more than the (also recently facelifted) A3 Sedan, while offering similar performance and equipment to both.

Along with a host of advanced driver-assist safety (ADAS) systems like adaptive cruise control – to be covered in more detail later on – the base 2 Series Gran Coupe comes with the M Sport styling package inside and out as standard.

You’ll also find goodies like adaptive LED headlights with auto high beams, adaptive dampers, keyless entry/start, a curved all-in-one 10.25-inch instrument display/10.7-inch centre control display using BMW’s latest OS9 system offering cloud-based navigation, an M Sport steering wheel, heated sports front seats, a head-up display, surround-view camera, wireless smartphone charger, Apple CarPlay/Android Auto, BMW Connected Drive with auto emergency call and other services, artificial leather upholstery, a 40:20:40-split backrest, an electric tailgate and 19-inch M-Sport alloy wheels.

From $62,900, the 220 ditches the 218’s 115kW 1.5-litre three-cylinder turbo petrol engine for a 150kW 2.0-litre four-pot turbo, while the 233kW M235 xDrive from $86,600 adds a lot more muscle to that 2.0-litre engine, all-wheel drive, more ADAS tech, massaging front seats, a Harmon/Kardon audio upgrade, uprated brakes, a panoramic sunroof, a heated steering wheel, rear spoiler and higher-gloss trim.

Many of those items are available with a $6700 Enhancement pack on the lower grades.

These more-or-less line up with rival premium small sedans.

Note, though, that they are expensive compared to fine mainstream C-segment alternatives costing far less, like the Subaru WRX, Toyota Corolla hybrid and Mazda3. Or Hyundai’s criminally underrated Ioniq 6 EV. Labels, eh!

Still, for some folk, the 2 Series Gran Coupe’s swoopier silhouette might make it seem like more of a rival to the sleeker CLA than a mere A200/A3 competitor, and that Benz kicks off from about $15K more than the 218. If that’s you, the BMW might be construed as a bit of a bargain.

Since we’re talking about styling, let’s take a deeper dive into the F74’s newly minted looks.

If you’ve ever driven the previous Model 3 Performance you’ll know that it could well have come with Space X badging (arguably Elon’s more impressive engineering achievement), because it really did thrust rather than accelerate.

But this time the engineers wanted to go all out. Customers appreciated the incremental performance they got from the last Model 3 Performance version, but they told Tesla they wanted more.

With many enthusiasts among Tesla's engineering and development team, they looked to unlock the performance potential of the platform.

So, that meant a whole lot more madness and torque thump. It comes from a new Performance 4DU, an all-new drive unit - featuring an entirely new rear motor that uses bar-winding technology - unlocking 22 per cent more continuous power, 32 per cent more peak power and 16 per cent higher peak torque delivery. 

Overall figures are 380kW and 740Nm, but looking at them written down, they seem big, yet not as big as they feel in this car, as it’s shoving you from a standing start to 100km/h in three seconds flat. 

It feels faster. Sick-making fast, even.

Three F74 powertrain choices are available for Australia in 2025. And none even remotely reflect what their respective badges imply on the boot.

The 218, for instance, is not powered by a 1.8-litre engine, but BMW’s long-lived B38 1.5-litre three-cylinder turbo petrol unit. Making 115kW of power at 6500rpm and 230Nm of torque between 1500rpm and 4600rpm, drive is channelled to the front wheels via a seven-speed dual-clutch transmission (7DCT).

With a kerb weight of 1420kg, the 218 has a power-to-weight ratio of 81kW per tonne, helping it achieve the 0-100km/h sprint time of 8.6 seconds, on the way to a 230km/h top speed.

Not enough? The 220 features the ubiquitous B48 2.0-litre (not a 2.2-litre) four-cylinder turbo petrol engine/7DCT combo, pumping out 150kW at 6500rpm and 300Nm from 1450-4500rpm. Tipping the scales at 1525kg for 98.4kW/tonne, its 0-100km/h time is 7.3s and top speed is 250km/h.

Want more? Stretching to the M235 xDrive sadly doesn’t mean a 3.5-litre in-line six, but a modified B48 2.0L/7DCT duo, delivering 233kW at 6500rpm and 400Nm from 2000-4500rpm to all four wheels. Result? Weighing just 50kg more than the 220, it boasts a heady 148kW/tonne, for a 0-100km/h of just 4.9s and a 250km/h v-max.

As with all of the UKL2/FAAR transverse-engine front-to-AWD platform models from non-electric Minis through to sub-X3/3 Series BMWs, you’ll find MacPherson-style struts up front and a multi-link independent rear end out back.

If you’re reading this outside of Australia, you may notice that none of the current F74 models offer mild-hybrid tech, in contrast to their European counterparts. And don’t go expecting any manual gearboxes either, unfortunately.

Despite being heavier and gruntier, Tesla claims the new Performance Model 3 manages to be more efficient than the one it replaces, albeit delivering just a two per cent reduction in energy consumption. Claimed energy usage is 16.7 kWh/100km.

Tesla claims a total range of 528km on the WLTP, which is obviously going to drop if you drive it the way its makers clearly intended.

Using a Tesla Supercharger, you can add 228km in 15 minutes and... that's all Tesla will tell us. There are no official figures available for how long a full charge takes, on either a Tesla charge or a home wallbox of your own.

OK, so is the 2 Series Gran Coupe cheap to run?

BMW reckons the 218 and 220 will average 6.3 and 6.7 litres per 100km, which means combined average carbon dioxide emissions ratings of 143 and 152 grams/km respectively.

Filling the 49L fuel tank with 95 RON premium unleaded, that translates to around 775km in the 218, and 730km in the 220 between refills.

Predictably, the M235 xDrive uses more, at 7.7L/100km for a CO2 rating of 176g/km. That’s a distance of about 635km.

Over our launch run, which took us from Sydney’s Circular Quay to Wollongong, the 218’s trip meter was reading in the high 8s and about 10 for the M235.

Very occasionally, one drives a car that makes the human body feel inadequate to the task. I would have worried that I’m getting old, that my body is simply too flubby and my brain too broken, to cope with the kind of wild acceleration and brutal g-forces the Model 3 Performance delivers.

But, fortunately, I had a videographer in the passenger seat, a much younger man who loves fast cars, and he kept threatening to vomit when I drove it hard, too. 

I’ve driven quite a few cars that you can use make your passenger sick, or hurt their necks - one obvious competitor in the shape of a Porsche Taycan Turbo S comes to mind - but it’s very rare that a vehicle is so intense it can make you, the driver, feel bilious.

Yes, you do bring this on yourself, by choosing to push this Performance anywhere near its limits through particularly sharp and intestine-shaped roads like the canyons outside Malibu Tesla chose to launch it on. 

On longer, sweeping bends it was far more of a joy, and less physically punishing, but in the tight stuff it often felt like corners were being thrown at you, as if you were driving behind the Millennium Falcon and being pulled along in its wake.

The brakes, special new sporting ones with track-ready pads, were up to the task, even though it often felt like they couldn’t possibly pull you up from the speeds you were doing.

And yes, it was entirely my fault that the very first time I even gently prodded the throttle and it launched me ahead past a California Highway Patrol officer, that was my fault too. Three minutes into the drive, holding an American fine, I had already deduced that perhaps this car was too fast for my own good.

But lots of EVs are fast in a straight line, you’re really comparing the length and depth of your “oooophhh” sounds at this point, but where this one succeeds is by being a lot better in the handling and ride and cornering departments than most.

Tesla’s stated goal with this car was to move beyond straight-line speed, to become more than a one-trick pony, and to do that it’s given the Performance a stiffer structure overall and updated the springs and stabiliser bars. 

Aerodynamic changes have reduced drag by five per cent, delivered a 36 per cent lift reduction, and a 55 per cent improvement in front-to-rear lift balance.

Tesla’s own, in-house version of adaptive dampers, not an option but included in every Performance, work with the car’s 'Vehicle Dynamics Controller' through its various modes - 'Insane' and 'Track' being the most… ludicrous - to immediately respond to driver inputs. 

The Performance rides well on LA’s awful concrete freeways but feels absolutely nailed down when you attack even a bumpy driver’s road.

This version also has a lot more power going to the rear wheels, to help it feel more sports-car playful and to fire out of bends the way an enthusiast’s car should. And make no mistake, I met them, the people behind this car are serious driving enthusiasts (although they demur, slightly, on whether their boss is one).

Track mode will allow some serious adjustability, drifting ability and fun, so the kind of people who want to hurl around a racing circuit in silence will love it.

Perhaps the only let downs are that it still feels a bit austere inside, just not very special, and that the steering is just a bit digital, soft and uninvolving, compared to the cars they clearly benchmarked against - BMWs and Porsches. 

Earlier, we mentioned that the 2 Series Gran Coupe is way more expensive than fine alternative sedans like the Mazda3 and Toyota Corolla.

And while that still stands, there is a remarkable solidity and refinement difference between those and the BMW that helps justify the premium. And nowhere is this more evident than from behind the wheel.

Sat on body-hugging seats and clutching that (too chunky) steering wheel, there is a sense of sporty occasion, backed up by quality trim and an aroma of expensiveness.

For a turbo three-cylinder car weighing 1.5 tonnes, the 218 does a lot with a little, offering spirited off-the-line acceleration and pleasingly lag-free throttle responses at lower speeds. You’d never call it fast, but it is a quick point-to-point urban mover. Only the unavoidable three-pot thrum lets you know you’re in the lowest mechanical spec. And, also, the delay at freeway speeds in building momentum when overtaking.

Which is why, for less than five per cent extra, the 220 with the 2.0-litre four-cylinder turbo would probably make a better buy. Sadly, that isn’t on sale yet in Australia, so we missed out on driving it during the Sydney launch. But in the scores of other BMWs and Minis we’ve tested this in, it’s a cracking little powertrain.

Whether the big leap (nearly $25K worth) to the M235 is worth it depends on how fast you drive and how much you value/need AWD. This is a terrifically muscular machine, since it provides rapid performance via a tidal wave of power, even with the lightest flex of your right foot. On-point and on-brand, this fun and fiery flagship possesses the grand-touring spirit that the rakish design and tech-heavy engineering promise.

To that end, in both the 218 and M235, the steering makes the driver feel connected to the car, resulting in precise and controlled handling. The driver-assist safety tech is beautifully calibrated and nuanced in its intervention, and the brakes are second-to-none.

What is also on-topic for a BMW is the firm suspension, despite the adaptive dampers fitted as standard equipment.

It isn’t stiff or overly uncomfortable, but bumps are certainly always felt, and they’re accompanied by fairly constant road-noise drone over some surfaces.

As such, you’re constantly reminded that dynamic athleticism is the priority here, rather than sumptuous comfort. We’ve experienced much worse from BMW, but a magic-carpet ride isn’t what’s in store for the 2 Series Gran Coupe owner.

So, what’s our verdict then? The 218 is a rorty little tryer that never fails to involve the driver, while the M235 ushers in an elevated level of acceleration, grunt and grip. We suspect that the 220 will be the Goldilocks-zone happy medium.

For (largely) better as well as for (occasionally) worse, these drive and feel like a BMW should.

The latest, F74 2 Series Gran Coupe scores neither an ANCAP nor EuroNCAP rating at this stage, but its F44 predecessor managed a five-star result back in 2019.

For the latest version, BMW is highlighting an elevated level of advanced driver-assist safety (ADAS), including lane-change/departure alerts, forward collision warning and automatic emergency braking tech that detects vulnerable road users like pedestrians and cyclists, rear cross-traffic warning, exit warning, adaptive cruise-control with full stop/go functionality, blind-spot monitor and traffic-sign speed-limit alerts.

No information on AEB operating parameters is available as yet for the F74, but the earlier series’ low-speed AEB worked from 8km/h to 85km/h and inter-urban AEB kicked in between 5-80km/h, while the lane-support systems functioned from 70-210km/h.

Tyre-pressure warning, 360-degree surround-view cameras and six airbags are also included, along with Parking Assistant Plus that brings sensors, automatic parking, a reverse assistant that automatically retraces the last 50 metres travelled and a drive recorder.

Note that the 218 misses out on the 220/M235 grades’ ADAS-related crossroads warning, evasion assistant tech, lane-keeping assist with active side-collision prevention and front as well as rear cross-traffic warning. These are available in the aforementioned Enhancement Pack, but at this lofty price point, they should be standard.

Finally, there are ISOFIX child-seat anchorages in the rear-seat outboard positions, along with a trio of child-seat tether latches.

Again, we've been asked to assume the Performance will come with Tesla's standard four-year/80,000km warranty and roadside assistance. And that the battery and drive unit will fall under an eight-year/192,000km warranty, whichever comes first.

Tesla says it monitors its cars to ascertain when they need servicing, and so it is based on a case-by-case situation. Every 12 months/20,000km is recommended for a general check-up, and includes tyre rotation.

Wiper blades, brake fluid and cabin air filters need replacement every two years while the air-con service is every six years.

Of course, there are no oil changes, filters or spark plugs to replace, and even brake pad wear is less than on an ICE vehicle because of the regenerative braking system. Although it will likely be higher in the Performance variant.

Here, however, is where BMW can do a bit better.

While the five-year/unlimited-kilometre warranty is where most premium brands are, it falls short of several Asian alternatives. Roadside assistance is for just three years and there is no capped-price servicing.

Service scheduling is also condition-based, meaning the vehicle will alert the driver when a service is imminent. This may not suit everybody, and we always recommend at least every 12 months or 10,000km, just to be on the safe side.

BMW does offer pre-paid service packs that take in basic maintenance for the first five years at $2369 or $3782, including brake-pad replacement, which works out to be about $475 and nearly $760 annually respectively. There is also a cap on mileage during that time frame: 80,000km.