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The BMW X3 was first launched in 2003 and is a compact crossover SUV. Only the second sports utility vehicle produced by BMW, the vehicle used newly developed four-wheel drive technology. A smaller version of the BMW X5, the X3 proved popular with 500,000 vehicles being produced by June 2005. Also in 2005 the X3 3.oi won Best Utility vehicle of the year at The Canadian Car of the Year awards. Since it was first introduced there have been several upgrades including changes to the engine, interior and suspension. The X3 is the only BMW to have undergone cosmetic changes in every year of its production, making the vehicles from each year distinctive.