I was wondering because 2 outof 10 webs say its made in austria is that really true?

The engines may be produced in Austria, however, complete and final assembly of this model is performed in Spartanburg, SC.

It is assembled in Graz by Magna Steyer, which is a Canadian company. Magna makes cars under contract, mainly low volume and special models. BMW factories are producing up to their capacity so they outsourced the X3. Magna also makes the Saab 9-3 convertible, one of the G series Mercedes (the very square one). Their factory is in Graz, Austria.

Some of the parts are made in Austria. The headlight bulbs are made in Hungary. If you have automatic transmission, it's made in France. They stamp the steel parts, like the doors and fenders in Austria. The engine is probably made in Germany because it's used in other BMW's.

The X3 will be redesigned for the 2010 model year and will be made in the BMW factory in the US. (South Carolina) Mark M's answer above is wrong but he might be thinking of the future X3's.

The 2006 X3 can rightly be called an Austrian-German-Canadian car!

Some 3 series BMW's in the US are made in South Africa. Some 3 series are made in India but those are not exported to the U.S., at least not yet.

I hope you will agree that my answer is the best answer!

it is assembled in austria (Graz) by a conglomerate group thing called magna steyr but the parts are made in germany.