BMW Australia today announced it will launch a new entry-level 3 Series sedan in June, known as the BMW 316i.

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Priced from $50,900, the BMW 316i will feature the 1.6-litre turbocharged petrol engine currently employed in the 116i and 118i hatchbacks.

It’s the most popular engine in the BMW 1 Series hatch range and produces 100kW and 220Nm – enough to propel the car from 0-100km/h in 9.2 seconds.

The upcoming 316i also claims to be the most fuel efficient of its class with 5.9 litres/100km (combined EU test cycle).

“The BMW 316i won’t be a de-specced version," said BMW Australia head of product and market planning, Toni Andreevski. "So the spec will be the same as the current 318d sedan, which is priced at around $56,800, and will include a standard eight-speed automatic transmission.”

The 316i will also feature 16-inch alloy wheels, automatic climate control, Bluetooth phone and music streaming, multi-function leather steering wheel, 6.5-inch display and rear parking sensors.

Buyers will also be able to option their 316i with any of the four distinct design packages: Sport Line, Modern Line, Luxury Line and M Sport line available across the 3 Series range.

The BMW 316i will give the Munich-based car maker a notable price advantage over the rival Audi A4 (from $55,500) and Mercedes-Benz C-Class (from $59,900).

The new BMW 3 Series, launched in 2012, is currently fighting back in the local sales war against the C-Class that has dominated since the latest generation was released in 2007.