Cheaper new luxury German car has arrived: 2025 BMW 2 Series Gran Coupe gets a cheaper entry price to tackle the Mercedes-Benz CLA and Audi S3

BMW's next-generation 2 Series Gran Coupe will land in Australia in the first quarter of 2025 with two new variants, bigger proportions and extensive design and drivetrain upgrades.

It gets a new starting price of $58,800 before on-road costs for the entry-level 218, which is $7400 cheaper than the current 220i Gran Coupe that starts at $65,200 before on-road costs.

The new top-spec M235 xDrive will start more expensive than the previous class-leading M235i xDrive Gran Coupe at $85,500 before on-road costs, up from $83,800.

The 218 does lose a big chunk of power compared to its predecessor, down from 141kW/280Nm in the 220i to 115kW/230Nm.

Power on the 218 comes from a smaller 1.5-litre turbocharged three-cylinder engine, which is paired with a seven-speed dual clutch transmission to send power to the front wheels. 0-100km/h time is claimed at 8.6 seconds.

The performance-focused M235 xDrive ups its power by 8kW to 233kW/400Nm, which is derived from a slightly modified 2.0-litre turbocharged in-line four-cylinder engine. It nearly halves the 218's 0-100km/h sprint time at 4.9 seconds.

It transitions from an eight-speed automatic transmission to a seven-speed dual-clutch transmission, which continues to send power to all-four wheels.

According to BMW, key drivetrain upgrades have been made across the 2 series Gran Coupe's range for the sake of increased agility, steering precision and better cornering.

2025 BMW 2 Series Gran Coupe M235 xDrive

There’s new shock absorber technology in either variant’s adaptive M suspensions, which sees the ride height of both cars fall by up to eight millimetres.

The rigidity between the body structure and chassis has also increased, while increased caster offset on the front wheels delivers more stable straight-line driving and greater steering feedback.

Overall the dimensions on each vehicle have increased by 20mm in length to 4546 mm, and 25 mm in height to 1445 millimetres. Width and the wheelbase stays the same.

BMW has given both variants a sportier appearance. The front grille now features a mix of vertical and diagonal bars, in addition to a larger lower air vent that gets a divider through its centre.

2025 BMW 2 Series Gran Coupe M235 xDrive

There are new design headlight and tail light clusters as well. Up front they will house adaptive LED headlights with glare-free matrix high beam and corner light functions.

The M235 xDrive gets exclusive design elements such as an M radiator grille with horizontal bars, M exterior mirror housing, an M rear spoiler and quad exhaust pipes.

Both variants are set to gain the option of contour radiator grille lighting from mid 2025.

Inside, BMW has adopted a curved display for the 2 Series Gran Coupe, which integrates a high-definition 10.25-inch digital driver’s display and a 10.7-inch multimedia screen, reducing the number of physical buttons compared to the previous generation.

2025 BMW 2 Series Gran Coupe M235 xDrive

Both variants get a head-up display, heated front sports seats, an eSIM with onboard 5G connectivity, wireless charging, a tyre pressure monitoring system and 18-inch M alloy wheels as standard.

There’s newly designed seats that gain multiple new upholstery options, a redesigned gear shifter and steering wheel, which incorporates shifter paddles on both variants.

The M235 xDrive adds 19-inch M alloys, front seat massage functions and lumbar support, a Harman and Kardon sound system, a panoramic sunroof and a heated steering wheel.

Customers of the 218 can opt for these upgrades for an additional $6700, while customers of both variants can opt for the M Sport Package Pro, which adds features like Red M Sport Brakes, M seatbelts, M headlights, M sport seats (exclusive to the M235 xDrive) and an M rear spoiler to the 218.

2025 BMW 2 Series Gran Coupe M235 xDrive

The sport package will set you back or $3200 on the 218 or $2700 on the M235 xDrive.

In terms of safety, both models get a comprehensive safety suite as standard, which includes active cruise control, speed limit information, lane departure warning, lane change warning, rear cross traffic warning and front collision warning with brake intervention.

There’s a parking assistant package on the M235 xDrive which adds a surround view camera system, BMW’s driver recorder camera monitoring system, park assist, reverse assistant and active park distance control.

Alpine White paint comes standard, while customers can opt for four metallic paint options for an additional $1800 or three BMW specific colours that range from $3500 to $5000.