Pointers pls on a contemplated 2002 e46 m3 purchase

[ssmann]

Brudders in the know,I need your help pls. Am looking at a potential buy and have some quick questions prior. Pls help me;- understand s54 engines between 2001 - 2003 had a rod bearing issue. How will I know if this has been addressed and what can I do to ensure peace of mind, ie can this be addressed seperately, if so at what cost?- are PSS10 Bilstein suitable for the car? Are they serviceable?Any other bits I need to watch out for when I Cucuk the car for diagnostics?So many thanks in advance!

 

[NKTOB]

From the states, some are relevant notes for pointers.

Header removed for confidentiality


As communicated to you in December 2002, BMW was in the process of conducting an investigation concerning cases of damage to the connecting rod bearings leading to engine failure on S54 engines in E46 M3 and M roadster/coupe cars.

We have completed our investigation and identified that E46 M3 cars with S54 engines produced from October 2001 - February 2002 require engine modifications to be performed as part of a service action. This action will consist of replacing the engine oil pump and connecting rod bearings. At the same time the engine control module will be reprogrammed to improve cold start characteristics, etc.

Service Information B11 02 03 has been issued containing all information required to perform this action. This action is not necessary for M roadster/coupe cars with S54 engines, or E46 M3 vehicles which had their engine replaced.

Notification letters to all customers will be mailed shortly.

To maintain customer confidence the 6-year or 100,000 miles extended engine warranty will continue for all M3 coupe/convertible and M roadster/coupe with S54 engines including entire MY 2003.

We have prepared a list of Questions and Answers, which should address most inquiries our customer may have. Please provide and discuss this information with your staff.


Thank you for your cooperation.

BMW of North America, LLC

BMW Service Action on M3 S54 Engines March 2003
March 28, 2003


(Q1) Why is BMW announcing a service action on M3 S54 engines?
(A1) We have determined that certain BMW M3's S54 engines could experience premature engine damage due to lack of lubrication to the connecting rod bearings.

(Q2) How many cars are affected by the service action?
(A2) Approximately 4,000 M3's are affected in the US (Worldwide 8,500).

(Q3) Which models might the problem occur?
(A3) BMW M3 coupe/convertible equipped with S54 engines and produced between October 2001 and February 2002.

(Q4) How many M3's with S54 engines in total were sold in the US?
(A4) Approximately 19,000 M3's with S54 engines have been sold in the US to date.

(Q5) When and how did BMW become aware of the problem?
(A5) Our customers and authorized centers notified BMW of isolated cases of engine damage starting mid year 2002.

(Q6) What seems to be the root cause of the problem?
(A6) BMW has identified the problem as a combination of contamination of the engine lubricating system during assembly and unfavorable tolerances in the oil pump in M3 S54 engines produced from October 2001 through February 2002.

(Q7) How does the driver become aware of the problem?
(A7) The engine will start knocking or making a loud rattling noise. At that point, we advise that you pull over to a safe location, turn the ignition off and call BMW Roadside Assistance at (800) 332-4BMW. Have your car towed to the nearest authorized BMW center.

(Q8) Is this a safety issue?
(A8) No. The vehicle can still be operated with no immediate need to have the repairs carried out. The driver would become aware of the problem if the engine started knocking or making a loud rattling noise. At that point, we advise the customer to pull over to a safe location, turn the ignition off and call BMW Roadside Assistance at (800) 332-4BMW to have the car towed to the nearest authorized BMW center.

(Q9) What is the solution to the problem?
(A9) The affected cars will require replacement of the engine oil pump and as a precautionary measure, replacement of the connecting rod bearings. In addition, the DME (engine control module) will be programmed with the latest software, which includes improved cold start characteristics.

(Q10) Why were engine failures seen in cars outside the affected production range? What is the reason for that?
(A10) Even under a highly sophisticated and top quality production process there can always be a small amount of defects no matter how careful and considerate one is. Our research cannot tie these isolated engine failures to the defined problem in the affected production range. Therefore, we have a very generous warranty and always stand behind our products.

(Q11) How many cars have experienced this engine damage?
(A11) To date, only a small percentage of cars have experienced engine damage.

(Q12) How many accidents or injuries are attributed to the problem?
(A12) To the best of our knowledge, none.

(Q13) Will BMW initiate a recall?
(A13) No, a service action.

(Q14) Have the customers been informed?
(A14) Customers were notified in December 2002 of the situation and BMW provided them with an extended warranty for all internal mechanical engine components lubricated by engine oil. These customers will receive a letter from BMW of North America, LLC, informing them of the analysis results. Customers with vehicles built in the identified production range are asked to contact their authorized BMW center to set up an appointment for the service action at their earliest convenience.

(Q15) How long will the repair take?
(A15) The repair will take approximately one days work, however, the actual time will vary depending on center scheduling.

(Q16) Are there any costs for the customer?
(A16) No.

(Q17) Can customers continue to drive their cars?
(A17) Yes. However, in the unlikely event that your engine is knocking or making a rattling noise please pull over to a safe location, turn the ignition off and call BMW Roadside Assistance at (800) 332-4BMW.

(Q18) Does BMW expect to tarnish their image?
(A18) No, BMW is being responsible in handling a product quality issue in the most customer-oriented and effective manner.


(Q19) Is the replacement oil pump used in the service action the same as the oil pump used in current production?
(A19) Yes. As part of an on-going production change, the oil pump used in the service action is also being used in current production as of January 2003.

(Q20) My car was not defined as being part of the service action. Can I have the service action performed anyway?
(A20) If you were not notified of your car being part of the service action there is no need for your car to undergo the action. Your vehicle is not within the identified production range.

(Q21) Why is BMW offering an extended warranty?
(A21) We want to prove to our customers that we understand their concern, stand behind our product and protect their investment.

(Q22) Do all BMW's equipped with S54 engines come with the 6 years/100,000 miles engine warranty extension?
(A22) Yes, to show our customers our commitment, we provided this warranty to all 2001, 2002 and 2003 model year BMW's with S54 engines.

(Q23) Why did it take so long for BMW to find a solution?
(A23) The issue required an intensive analysis to determine the root cause of the problem. We wanted to be sure that the correct countermeasures were implemented.

(Q24) Why is the M roadster/coupe not affected by this service action?
(A24) Our root cause analysis revealed that these cars do not call for a service action as the number of reported incidents are very low on these models; and there is a differentiation in the production process from the M3. BMW remains committed to maintaining our customers confidence and has also extended the engine warranty for the M roadster/coupe with S54 engines model year 2001/2002.

(Q25) What is the estimated cost of this service action to BMW?
(A25) On a worldwide basis approximately 6 million US dollars.

 

[ssmann]

Bro NKTOB, tq. Coincidentally I also found out about this by reading the same forum post you reproduced. However, I need to know whether the owner has done this previously and if not, can I do this on my own at a workshop and rough estimate of cost. Much thanks

 

[BlackCat]

Some required reading if you have not already, here.

An immaculate 2006 E46 M3 rag top [also comes with the optional hardtop] is available in the market...

Let me know if you are interested.

 

[M.Directspares]

Congratulations bro, finally. As stated in the post its effected to model before April 2002. and shouldnt be problem if yours is bought first hand from main dealer, and normally the do came with service book stamped with all service history.

If you cucuk and running full diagnose make sure to unplug the mirror cable, it will heating up your car and can damaging your mirror elements.




Cheers.

 

[e34_lover]

Do you know where your car is from?

Pretty much the only thing you can do is bring it in to BMW so they can check your VIN on their system and see if the recall has been done.

I have heard that even after the recall, it still spins the bearings.

A few companies like VAC and Bimmerworld offer coated/treated bearing shells. I think the other thing was to replace the rod bolts with ARP hardware.

I am not sure if dealers are willing to do any goodwill over here in Malaysia if the recall hasn't been done so IF the repair hasn't been carried out, make sure the car has TWS in it. BMW only recommends TWS for the E46 M3 and if they find out it doesn't, they won't help you out at all.

Heres a list of what to look out for:

1) Look for cracks around the rear subframe area. This is a weak spot on the E46.

2) Check for rust lip of the fenders. A common problem on the E46 as well.

3) Check for rust on the door striker. Another rusty area on the E46.

4) Exhaust mounts will be pretty worn if they have not been changed before, M3 exhaust weights a tonne....

5) Check to see if it has had its valve adjustment done. Can get quite pricey.

6) Check for Vanos rattles

7) Check rear shock towers for cracks. If you buy the car and it doesn't have the reinforcements already, get them.

8) For cars with about 80k kms or so, check the front control arm bushings, rear trailing arm bushings. Common wear items these 2.

9) Check for any coolant leakage.

10) Run a diagnostic check and see if you get any codes.

11) Inspect rear diff bushings for cracks. Can be expensive to change them as the bushings only come with the rear diff cover. I do know of another way though :top:

12) Camshaft sprocket bolts can shear off. Requires removal of valve cover and maybe vanos to check this.

Those are the things I can think of off the top of my head. I will add things later if I remember any others lol.

Pretty much all these can be used to negotiate price. However, I would recommend to walk away if you find shock tower cracks, subframe cracks. Can get expensive to fix. Is the car an SMG?

Hope this helps!

 

[ssmann]

Congratulations bro, finally. As stated in the post its effected to model before April 2002. and shouldnt be problem if yours is bought first hand from main dealer, and normally the do came with service book stamped with all service history.

If you cucuk and running full diagnose make sure to unplug the mirror cable, it will heating up your car and can damaging your mirror elements.




Cheers.

Bro, tq. When u say unplug mirror, u mean rear view mirror? This unit is already leaking mercury. So when I get it, I shall be changing this to a non dimming unit to safe all the hassle. I read somewhere bout the RM15 remedy!!

 

[ssmann]

Do you know where your car is from?

Pretty much the only thing you can do is bring it in to BMW so they can check your VIN on their system and see if the recall has been done.

I have heard that even after the recall, it still spins the bearings.

A few companies like VAC and Bimmerworld offer coated/treated bearing shells. I think the other thing was to replace the rod bolts with ARP hardware.

I am not sure if dealers are willing to do any goodwill over here in Malaysia if the recall hasn't been done so IF the repair hasn't been carried out, make sure the car has TWS in it. BMW only recommends TWS for the E46 M3 and if they find out it doesn't, they won't help you out at all.

Heres a list of what to look out for:

1) Look for cracks around the rear subframe area. This is a weak spot on the E46.

2) Check for rust lip of the fenders. A common problem on the E46 as well.

3) Check for rust on the door striker. Another rusty area on the E46.

4) Exhaust mounts will be pretty worn if they have not been changed before, M3 exhaust weights a tonne....

5) Check to see if it has had its valve adjustment done. Can get quite pricey.

6) Check for Vanos rattles

7) Check rear shock towers for cracks. If you buy the car and it doesn't have the reinforcements already, get them.

8) For cars with about 80k kms or so, check the front control arm bushings, rear trailing arm bushings. Common wear items these 2.

9) Check for any coolant leakage.

10) Run a diagnostic check and see if you get any codes.

11) Inspect rear diff bushings for cracks. Can be expensive to change them as the bushings only come with the rear diff cover. I do know of another way though :top:

12) Camshaft sprocket bolts can shear off. Requires removal of valve cover and maybe vanos to check this.

Those are the things I can think of off the top of my head. I will add things later if I remember any others lol.

Pretty much all these can be used to negotiate price. However, I would recommend to walk away if you find shock tower cracks, subframe cracks. Can get expensive to fix. Is the car an SMG?

Hope this helps!

Bro, much thanks on your comprehensive report! Some info that may shed some light on the car and results of inspection.

Car is a 2002 direct import into Malaysia with 59k km's on meter, used by a Dato for 8 years bearing no plate MG8. He clocked 42km in that time. Bought over by current owner who works in a high end luxury car importer and VW dealership in PJ called Beemer. He has had the car for about 18 months. No plate now is WPL363.

Car on initial inspection is esthecially 8/10. Paintwork is mint in original carbon black. Has CSL rims with brand new Toyo tyres. Rear carbon diffuser. Running on PSS10 which is about a year old. Interior is mint in black and no visible signs of wear, apart from rear mirror which is leaking mercury. I read there is a cheap fix for RM15, which i shall be contemplating.

1st time drive impressions

Car was driven to my trusted friend mechanic within the PJ area. Drove in slow and clear traffic on highway for about 20 mins all in. Tested in auto mode and also manual. Car had no visible signs of strain, pulled very well, albeit i did not thrash it. The SMG felt steady, with no clunking sounds that i have experienced in other models tested. Ride was firm and planted. Engine sounded very healthy, no knocking or vanos rattles noticeable. Overall impression was a car that has not been thrashed and maintained well.

Inspection results

On hoist, following were inspected and results below;

- Undercarriage full inspection revealed no rust and no visible strain marks on rear subframe or bushes. All intact and infact in good order
- Rear axle and diff very clean
- no rattles from exhaust, except for the beautiful rasps that almost made me *u*!!!!
- removed undercarriage front cover and revealed wet. Engine oil is leaking, suspected from oil seals and gaskets. Owner confessed to not noticing this and has not made any gasket or seal changes in his time of ownership. this will need to be addressed, but kind of expected from a 10 year old car
- tie rod connecting to rack had some minor freeplay. When driving the car, no noticeable major steering freeplay. Suspect tierod or rack. Is thi major?
- Long shaft couplink showed signs of wear, which my mech assures is a small thing which is easily replaceable as the couplink is the same for the e46. Correct?
- Car brought down from hoist and engine bay inspection took place. All in order except for some very minor visible crack on absorber tower meet fender. Owner confessed that he also noticed the same when he bought the car and did not want to rectify for fear of someone thinking the car met an accident. It shall need some reinforcement, nothing too major IMHO. But correct me if am wrong pls
- Engine was revved steadily to 3,000 rpm then to 3,700 rpm. Sounded very nice, with some minor valve adjustment needed. Owner confessed to have not done this in his time of ownership. Is this something major for me to address? If so, who is most capable undertaking this work and what sort of price estimate pls?
- GT1 diagnosis revealed 59k km's on car as original mileage. No fault codes detected on 3 diff software systems ie GT1, Carsoft and another diagnosis tool. All vanos, EMS and DME checks revealed no fault codes and running tests revealed in range results

Overall, I think a very solid, well maintained and cared for car. No visible signs of stress or abuse, which was confirmed upon inspection. What was expected wear and tear from a 10 year old car present.

Next question is, who is the most realiable workshop that can handle the works on this car in the Klang Valley area and has experience with these engines. Dont want someone who will experiment with the car and cause me more headaches! What should be the immediate works done post purchase to ensure peace of mind motoring?

Thanks bro!

 

[e34_lover]

No problem dude!

Great find as it has very low mileage!

PSS10's should be serviceable but it is quite troublesome as you will have to send them overseas to get rebuilt. Add that to shipping costs both ways and it might not be that worth it. You should be fine for quite a while so don't worry too much about it.

Yea, there's a cheap fix for the mirror but.... if you can afford to buy an M3 fix it properly bro! No offense lol :beer:

Try checking oil level if possible JUST to make sure the leak hasn't caused too much loss of oil. Obviously if the previous owner just topped it up, you will never know lol.

Good to hear that it doesn't have any clunking but don't fret too much if it does come about later on. Many many documented clunking complaints. BMW even sent out a bulletin to tell their service centres that this is normal and not to replace anything..... Usually its the diff that clunks but if its any other spot, could be the guibo or csb.

Usually its the tie-rods being worn, rarely the steering rack that gets worn out so much. Tie-rods are pretty cheap so you can just replace them if you need to. If you can't feel anything while driving, just leave it and change it later if it becomes more major.

Hmm... honestly, with the strut tower cracking it needs to be fixed ASAP depending on what cracks they are. Hopefully you have these cracks?

Structurally, those should be ok. Supposedly just seam sealer cracking.

I wrote a whole other reply if its a different type of cracking so I hope it is the above issue!

Valve adjustment is not hard but depending on how you want to do it, it will either be expensive, or cheaper but take longer. You can either buy the whole shim kit which is damn expensive and includes all the shim sizes, or you measure the tolerances of the current shims and order what you need. If you are lucky some shims can be swapped with another one that requires that shim size. However you will either need to leave the car at the mechanics or refit the valve cover and then take it off again when the parts arrive. I will see if the mechanic that I sometimes go to can do this job. I usually fix my own car these days lol... Don't really trust anyone. Are there any audible ticks from the engine? Its usually a sign that you need a valve adjustment. I haven't had the time to do my own. I think its not ticking but I just want to do it cos... I just have to have it perfect.....

I'll PM you the mechanics details. Works on quite a few M's so he should be ok.

Let me know if you need anything else!

 

[ssmann]

Bro, tq. Pls see reply in RED quoted within your original text. Really appreciate the time and effort you're taking to respond and assist to drive my decision on the vehicle!

No problem dude!

Great find as it has very low mileage!Thanks bro

PSS10's should be serviceable but it is quite troublesome as you will have to send them overseas to get rebuilt. Add that to shipping costs both ways and it might not be that worth it. You should be fine for quite a while so don't worry too much about it.Noted bro. I think its a little firm though as at times there is a knocking sound in the front absorber, alike to the top mount starting to give way. Is there a fix? Otherwise, it gives the car a good stance and nice planted feel

Yea, there's a cheap fix for the mirror but.... if you can afford to buy an M3 fix it properly bro! No offense lol :beer: Agreed bro. I just want to avoid these mercury leaks and unsightly damage to the console

Try checking oil level if possible JUST to make sure the leak hasn't caused too much loss of oil. Obviously if the previous owner just topped it up, you will never know lol. Will do

Good to hear that it doesn't have any clunking but don't fret too much if it does come about later on. Many many documented clunking complaints. BMW even sent out a bulletin to tell their service centres that this is normal and not to replace anything..... Usually its the diff that clunks but if its any other spot, could be the guibo or csb. Understand. What's CSB?

Usually its the tie-rods being worn, rarely the steering rack that gets worn out so much. Tie-rods are pretty cheap so you can just replace them if you need to. If you can't feel anything while driving, just leave it and change it later if it becomes more major. Agreed, nothing major now but will be revealed when i push her to MY limits when i get here

Hmm... honestly, with the strut tower cracking it needs to be fixed ASAP depending on what cracks they are. Hopefully you have these cracks? Exactly those cracks bro, but mine is a little smaller in comparison!

Structurally, those should be ok. Supposedly just seam sealer cracking.

I wrote a whole other reply if its a different type of cracking so I hope it is the above issue!

Valve adjustment is not hard but depending on how you want to do it, it will either be expensive, or cheaper but take longer. You can either buy the whole shim kit which is damn expensive and includes all the shim sizes, or you measure the tolerances of the current shims and order what you need. If you are lucky some shims can be swapped with another one that requires that shim size. However you will either need to leave the car at the mechanics or refit the valve cover and then take it off again when the parts arrive. I will see if the mechanic that I sometimes go to can do this job. I usually fix my own car these days lol... Don't really trust anyone. Are there any audible ticks from the engine? Its usually a sign that you need a valve adjustment. I haven't had the time to do my own. I think its not ticking but I just want to do it cos... I just have to have it perfect.....Bro, I cant really hear anything sinister. In my S50B32 before there was a much louder ticking sound, somewhat like a teppet sound. This engine is pretty quite even when revved to about 3.7k RPM

I'll PM you the mechanics details. Works on quite a few M's so he should be ok. Tq

Let me know if you need anything else!Tq bro, youve been great help!

 

[e34_lover]

No need to thank me dude!

Ok there are 2 methods of fixing the method, one will result in the same issue but the other fix gets rid of the old system and uses a new method. I'll get my brother to post up cos he is planning on doing it. If I am not mistaken, someone else on this forum has it done already. Radar mirror or something if I remember correctly.

Im not too sure about the knocking. Could be normal depending what type of top mount it is. I am currently running vorshlags on my M3 and it sounds like its broken because there is no rubber in it at all. Its a race mount. Does it sound loose or is only on impact? I will see if I can find out what type of top mount the PSS10's have.

CSB is the centre support bearing. Connects the front and rear part of the driveshaft.

Good to hear its those cracks! Should be no problem at all except cosmetically. If anyone can correct me on this, please do cos I could be wrong.

I think your old M3 needed its valves adjusted, mine doesnt have any ticking. The valve adjustment isn't a major issue. Just loss of power and ticking if tolerances are really out.

The S54 does seem like a smoother engine, its more refined than its older brother.

Let me know if you need anything else!

 

[M.Directspares]

yes rear view mirror ada switch behind it. rm15 custom cut mirror is best option

 

[maxxsp]

ssmann,

You can get the auto-dimming rearview mirror repaired at http://www.radar-mirror.com/
They swap out the old Magna fluid based mirror with a new gel based Gentex mirror.

You can find out more information here.
http://www.m3forum.net/m3forum/showthread.php?t=390364

 

[badrul880]

Bhai apa lagi kasi angkat la.. Re-live the glory days of tonggenging..:reddy:

 

[ssmann]

Bhai apa lagi kasi angkat la.. Re-live the glory days of tonggenging..:reddy:

Hehehehe.....i tak berani main sama lu la....335i and sum say ada "hantu" baru!!!

 

[ssmann]

Thank you Zul, Max and Leon for all your input and assistance!

 

[ALBundy]

Bro, much thanks on your comprehensive report! Some info that may shed some light on the car and results of inspection.

Car is a 2002 direct import into Malaysia with 59k km's on meter, used by a Dato for 8 years bearing no plate MG8. He clocked 42km in that time. Bought over by current owner who works in a high end luxury car importer and VW dealership in PJ called Beemer. He has had the car for about 18 months. No plate now is WPL363.

Car on initial inspection is esthecially 8/10. Paintwork is mint in original carbon black. Has CSL rims with brand new Toyo tyres. Rear carbon diffuser. Running on PSS10 which is about a year old. Interior is mint in black and no visible signs of wear, apart from rear mirror which is leaking mercury. I read there is a cheap fix for RM15, which i shall be contemplating.

1st time drive impressions

Car was driven to my trusted friend mechanic within the PJ area. Drove in slow and clear traffic on highway for about 20 mins all in. Tested in auto mode and also manual. Car had no visible signs of strain, pulled very well, albeit i did not thrash it. The SMG felt steady, with no clunking sounds that i have experienced in other models tested. Ride was firm and planted. Engine sounded very healthy, no knocking or vanos rattles noticeable. Overall impression was a car that has not been thrashed and maintained well.

Inspection results

On hoist, following were inspected and results below;

- Undercarriage full inspection revealed no rust and no visible strain marks on rear subframe or bushes. All intact and infact in good order
- Rear axle and diff very clean
- no rattles from exhaust, except for the beautiful rasps that almost made me *u*!!!!
- removed undercarriage front cover and revealed wet. Engine oil is leaking, suspected from oil seals and gaskets. Owner confessed to not noticing this and has not made any gasket or seal changes in his time of ownership. this will need to be addressed, but kind of expected from a 10 year old car
- tie rod connecting to rack had some minor freeplay. When driving the car, no noticeable major steering freeplay. Suspect tierod or rack. Is thi major?
- Long shaft couplink showed signs of wear, which my mech assures is a small thing which is easily replaceable as the couplink is the same for the e46. Correct?
- Car brought down from hoist and engine bay inspection took place. All in order except for some very minor visible crack on absorber tower meet fender. Owner confessed that he also noticed the same when he bought the car and did not want to rectify for fear of someone thinking the car met an accident. It shall need some reinforcement, nothing too major IMHO. But correct me if am wrong pls
- Engine was revved steadily to 3,000 rpm then to 3,700 rpm. Sounded very nice, with some minor valve adjustment needed. Owner confessed to have not done this in his time of ownership. Is this something major for me to address? If so, who is most capable undertaking this work and what sort of price estimate pls?
- GT1 diagnosis revealed 59k km's on car as original mileage. No fault codes detected on 3 diff software systems ie GT1, Carsoft and another diagnosis tool. All vanos, EMS and DME checks revealed no fault codes and running tests revealed in range results

Overall, I think a very solid, well maintained and cared for car. No visible signs of stress or abuse, which was confirmed upon inspection. What was expected wear and tear from a 10 year old car present.

Next question is, who is the most realiable workshop that can handle the works on this car in the Klang Valley area and has experience with these engines. Dont want someone who will experiment with the car and cause me more headaches! What should be the immediate works done post purchase to ensure peace of mind motoring?

Thanks bro!

SSmann,

Have seen this car running around a few times in PJ/Mont Kiara area.

Seems to be a nice car with very low mileage.

Few things, the oil leak is probably due to a pressure relief screw which is less than USD20. Mine was also leaking and once I got that replaced, it has been dry since then. If it leaks from the gasket it will be more "visible". You can either order this from local parts shop or get it from Turnermotorsport where I got mine.

As for the clunking sound when shifting gears, I would say this is pretty normal due to the SMG transmission and highly noticeable when the shifting speed is set to S5 or even S6 (only possible when DSC is off). I have refurbished my drive shaft head, but it didnt make the clunking sound any lesser so its normal.

As for engine ticking, again its normal as these engines doesnt run on hydralic lifters but pretty much on these shims. Someone I know has bought a set which is about USD400, and can probably share it with many of us. The adjustment is pretty much straight forward, but the engine will have to be cooled down overnight. Upon re-adjustment the ticking sound is reduced due to lesser free play. On the contrary, there is no increase in power but in fact some may experience lesser power or a "tighter" engine.

The tie rods and steering coupling are similar to E46 325 ones, and I got mine replaced recently.

All in all, this car is pretty "hardy" except the rear subframe mountings which I have seen one cracked before, but the owner drives the car way too hard. Mine is still fine despite some occasional drifts

Good luck and you will never regret owning the real deal!

Cheers

 

[e34_lover]

Few things, the oil leak is probably due to a pressure relief screw which is less than USD20. Mine was also leaking and once I got that replaced, it has been dry since then. If it leaks from the gasket it will be more "visible". You can either order this from local parts shop or get it from Turnermotorsport where I got mine.

Good idea! Definitely overlooked that part. Part number is 11111318185 if you and I are talking about the same thing. Price is not USD20 though. Its abit more.

As for the clunking sound when shifting gears, I would say this is pretty normal due to the SMG transmission and highly noticeable when the shifting speed is set to S5 or even S6 (only possible when DSC is off). I have refurbished my drive shaft head, but it didnt make the clunking sound any lesser so its normal.

Clunking is because of the diff not the transmission. The SMG transmission and the manual transmission is exactly the same minus the actuators, pump and bell-housing. Every other part is the same. You can change your SMG gearbox to a manual one with the manual bell-housing. BMW issued a bulletin to the service departments telling them that this is normal and not to change any parts.

""E46 M3 - "Clunk Noise" on Load Reversal MODEL
E46 M3 with S54 engine SITUATION
Customer may complain of a drivetrain rattle or knocking noise during a load change, e.g. 1st to 2nd gearshift at low engine speed, coming from the rear axle area. Further drivetrain checks reveal that the right side rear axle output flange appears to have more play (approximately 0.5mm to almost 1mm) when compared to the left side output flange. INFORMATION
The radial play on the right side rear axle flange is a normal design characteristic of the new M differential lock style rear axle used on E46 M3 models. Therefore an M3 differential should not be replaced due to a difference in play (when comparing left to right side differential output flange play) since this will not eliminate a drivetrain rattle or knocking noise. IMPORTANT
In order to transmit engine torque to the rear wheels instantaneously, without any time lag, the whole M3 power train was designed with maximum torsional rigidity. Consequently, the flywheel mass and its damping capability has been reduced to a minimum. As a result, during an abrupt torque transfer (e.g. 1st to 2nd gearshift at low engine speeds) driver receives an acoustic feedback, which can be interpreted as a "clunking or rattling" noise. This characteristic is common in many high performance vehicles. Activation of the "Sport Mode" offers an additional increase in driving dynamics. As a result, acoustic feedback from the power train may be even more pronounced. The acoustic feedback characteristic is not a symptom of a failure, and does not compromise long-term reliability of drivetrain components (clutch, transmission, differential), nor does it adversely affect performance of the vehicle. WARRANTY INFORMATION"

This clunk has left me in a dilemma whether I should install a 3.62 final drive or the whole M diff into my E36.

As for engine ticking, again its normal as these engines doesnt run on hydralic lifters but pretty much on these shims. Someone I know has bought a set which is about USD400, and can probably share it with many of us. The adjustment is pretty much straight forward, but the engine will have to be cooled down overnight. Upon re-adjustment the ticking sound is reduced due to lesser free play. On the contrary, there is no increase in power but in fact some may experience lesser power or a "tighter" engine.

I believe that you have a slight misunderstanding here. The car will gain power if the adjustment is so out that the valve is not seating properly. This will cause compression loss. On the other hand, if the gap is between the shim and camshaft is so large that the valves are not opening fully, less air is entering the combustion chamber (than normal) and less air is going out through the exhaust valves. This is where power is gained. More air = more power, less exhaust restriction (to a limit) = more power. When I talk about gaining power, its regaining horsepower not actually making more power than stock. There is no loss in power from a "tighter" engine because these shims only affect gap between the valves and the camshaft. There is no extra friction that would cause loss of power. The valve spring rates are still the same so the camshafts have to push the valve down with the same amount of force but just that they can now open fully.

Good luck and you will never regret owning the real deal!

Agreed!!!

 

[ALBundy]

Can't remember exactly how much it cost but not an expensive part and was lucky to spot the part on Turnermotorsport.

1) Yup, the cause of clunking is not the transmission and hence I refurbish the drive shaft 'head'. However, I mentioned SMG transmission because of the way the gears are shifted. In a manual transmission, the clutch can be modulated to lessen the harshness of shifting where as on the Smg it's automated. As I said, setting to S5 or S6 will make it even louder. The same clunking sound is also prevalent on the R8, or any single clutch automated transmission. In my opinion it's not the LSD. I have driven e36 M3 Evo of which the e46 M3's LSD is derived from and there wasn't any clunking sound.

2) Once the valve gaps are adjusted, it will be like running in a new engine. It will feel tight and not so 'revvy', at least that is my experience before it goes back to normal, just like running in a new engine.

Cheers

 

[e34_lover]

Yea, I think its that part.

Ah, understand where you are coming from now. I am not fortunate enough to have ever driven an R8 or any other single clutch automated transmission so I can't say why the R8 has a similar issue. By driveshaft head, do you mean the giubo? My brother's E46 M3 (Manual) is now clunking again. It went away before which was due to the diff mounts being broken but that has been replaced. After about a month or two, a different type of clunk showed up. Hes probably gonna change the giubo and csb before finally accepting that he has the infamous M clunk. Hopefully it is one of those two parts because a loose diff does cause unnatural movement of the csb and giubo and wears those two parts out faster. No matter how gently the clutch is let out, a clunk is heard. Everytime from 1-2 at low speed like the BMW SIB states. I have jacked the car up from the rear and the play from the diff is amazing. Theres like an inch or more of movement before the other wheel moves. Tried it on my E36 and that didnt happen. This is the drivetrain lash that is causing the noise I believe. Shift aggressively at high rpm and this issue is not there. Floor it in first, change gear anywhere above 4k rpm and change gear as aggressively as you want and it will never clunk.

Well, BMW issued the technical bulletin so I don't know what to say. I will see if I can get the SIB off the BMW dealer network.

I don't believe that the E46 Variable locking diff was derived from the E36 M3 Evo clutch style diff. The E46 diff locks all the way from 0-100%. The E36 clutch style locks at 25%. The only similarity is the 210mm pinion.

Copied and pasted info on what the M Variable locking diff is

"An understanding of existing torque-sensing limited slip differentials will help us understand the improvements offered with this new variable differential locking system. In the past, limited slip differentials have used a constant basic locking torque. When one wheel spins, the differential locks and sends torque to the other wheel. The differential lock value for current M class BMW’s is 25%.

This system works well, but a problem occurs when one wheel is on very low traction surfaces such as ice or when the car is turned hard in a corner and the inside wheel lifts off the road. Then there is not enough traction provided by the slipping wheel to cause the differential to lock. The traction advantages of this differential lock are limited by the maximum traction torque of the slipping wheel.

The Variable M-differential lock can provide traction advantages even when one wheel is on glare ice. The factor that determines torque transfer is the speed differential of the drive wheels. As soon as one wheel starts to spin, torque is transferred to the other wheel. The greater the speed difference, the more torque is transferred.

To accomplish this, BMW is using a sheer pump located inside the differential. One drive wheel is connected to one part of the pump and the other wheel is connected to the other part. As wheel speeds differ, the pump provides a variable pressure that applies multi-disc clutches preventing the spinning wheel from turning faster than the other wheel.

The pump is a sealed unit that uses high viscosity silicone oil between two sheer discs. As soon as the two sheer discs turn at different rates, the silicone oil is sheered by the grooves in the sheer plates and this generates a pressure dependent on the speed differential of the two plates. Thus, a variable differential lock effect is achieved. As soon as the two wheels are turning the same speed, the pressure of the sheer plates decreases and the differential unlocks.

Conventional limited slip differentials use a little constant pressure on their clutches to preload the differential. This works fine for performance applications but it is undesirable on ice. When two wheels are “locked” constantly together even with limited force, they tend to fight each other when the vehicle turns corners and the wheels have to travel different distances. On slippery, icy road surfaces, the action tends to cause both drive wheels to loose traction. This can have a dramatic effect on lateral stability.

The Variable M-differential lock system continually varies the “locking” of the two drive wheels. During cornering, the speed differential is low enough the differential remains unlocked so lateral stability is maintained. As soon as one wheel looses traction, the differential holds, and the car continues to move. Combined with the BMW M3′s 50:50 weight distribution and their stability control system, the M3 is a superb handling vehicle on any road conditions."

If you read my previous post that I believe is an extract of the SIB, it says it is due a "normal design characteristic of the new M differential lock style rear axle used on E46 M3 models"

I have compared my M3 to by brothers E46 M3 and the way the car takes off is so different. The E46 really puts the power to the ground and can fishtail when really gunning it. The E36 on the other hand does not squirrel around so much because the lock is maxed out at 25%. I am really tempted to change my diff over to the Variable M diff. I believe my clutches are probably worn as well.

What do you believe causes the clunking if its not the diff?

Disclaimer: I don't claim to be anyone with huge technological knowledge. These posts are based on my assessment of what information I have been given. If anyone see's this as an argument, it is not. It is interesting to see another point of view from a fellow owner and I am probing so I can correct my understanding if it is wrong :rock: