"The E36 M3 launched in the U.S. in 1995 with a 240-hp, 3.0-liter inline-six, developed specially for the American market (in fact, BMW wasn’t planning on selling the M3 here at all but was ultimately persuaded by an enthusiasts’ petition). This engine was replaced in 1996 with a 3.2-liter version, offering identical hp but 11 more lb-ft of torque at lower rpm."
" The U.S.-spec drivetrain is similar to that of the E36 325i",
Car and Driver
These quotes prove that the US version was in fact not an M3
From another Car and Driver article on the Euro-spec E36 M3 (same as SA version) :
" The Euro-spec E36 we drove hit 115.6 mph on Ascari’s long straight—to the E30’s 110—the mellifluous turbine underhood heard but barely felt.
The E36 feels lower, wider, and much stiffer than its predecessor, with a suspension that is clamped tighter, so cornering limits climb. It’ll pitch sideways far more readily, though the steering is more insulated and a little less organic than the E30’s.
With three body styles and only a modest bump in base price over the E30, plus a slew of variants introduced throughout its life span, the E36 gets credit for being the first to spread the M3 religion far and wide."
The E36 M3 is the best bang for the buck in the SA used car market.
raise: