The 320i will be powered by a 2.0-liter, four-cylinder turbocharged engine with 180 hp and 200 lb-ft of torque. Priced at $3,405 less than the 328i, it also has 60-hp less and 55 lb-ft of torque less. Transmission options include an eight-speed automatic or a six-speed manual, available only on the non-xDrive models.

In true BMW fashion, options on the 320i will be plentiful including ConnectedDrive, Sport Package, Cold Weather Package, Premium Package, Driver Assistance Package, and Lighting Package.

BMW used the New York International Auto Show to showcase two new additions to its venerable 3 Series lineup, a new diesel-powered 328d and a Gran Turismo hatchback. The 328d is making its U.S. premiere at the show and will go on sale in late summer.