2022 BMW X3 vs 2021 Volvo XC40

Introduced for the 2019 model year, the Volvo XC40 enters 2021 with one major change—the addition of an all-electric powertrain option. The 2021 Volvo XC40 Recharge is the Scandinavian automaker’s first mass-market pure electric vehicle, in fact.

The Recharge will be sold alongside gasoline versions of the XC40, which carry over largely unchanged, and compete against small luxury crossovers like the Audi Q3, BMW X1, Mercedes-Benz GLA-Class, and Lexus UX. With its electric powertrain, the Recharge is a de facto Tesla Model Y competitor. It’s also priced similar to high-end versions of the Ford Mustang Mach-E, although the two electric crossovers have somewhat different philosophies.

In addition to that zero-emission powertrain, the Recharge gets an Android-based operating system, over-the-air (OTA) software update capability for all vehicle systems, and some updates to driver-assist tech. These changes don’t apply to gasoline 2021 XC40 models, but Volvo does plan to add the Android operating system to more vehicles in the future.

Since the Recharge is the main new thing for the 2021 XC40, that’s what we focused on for this review. While the gasoline XC40 is available in three trim levels—Momentum, R-Design, and Inscription—with standard all-wheel drive (AWD) in Canada, the Recharge is only offered in a single trim level.

Since its inception in 2003, the BMW X3 has grown to become one of the brand’s top sellers. And starting with its second generation (circa 2010), the luxury compact crossover has been built at BMW Spartanburg—the automaker’s only manufacturing facility north of the Mexican border. Incidentally, because Spartanburg is the global producer of every gas-powered BMW crossover besides the X1 and X2, the plant also boasts the highest production numbers of any BMW plant worldwide. One can speculate that the popular X3 has a lot to do with that.

Last redesigned for 2018, the X3 receives a rather hefty mid-cycle refresh for 2022. Updates include design tweaks, new engines, more technology, and an expanded suite of safety features. (Interestingly, while the BMW X3 xDrive30e plug-in hybrid has been dropped from the lineup in the United States, it continues in 2022 in Canada. This model is not covered in this review.)