The BMW E34 is the third generation of the BMW 5 Series, which was produced from November 2, 1987 until 1996. Initially launched as a sedan in January 1988, the E34 also saw a “Touring” station wagon (estate) body style added in September 1992, a first for the 5 Series. BMW replaced the E34 with the E39 5 Series in December 1995, although E34 Touring models remained in production until June 1996.

The E34 generation marked the first time all-wheel drive was incorporated into the 5 Series with the 525iX, and the first V8 engine to be used in a 5 Series. The E34 also saw the introduction of stability control (ASC), traction control (ASC+T) a 6-speed manual transmission and adjustable damping (EDC) to the 5 Series range.

There was an unusually large range of engines fitted over its lifetime as nine different engine families were used. These consisted of straight-four, straight-six and V8 engines.

The E34 M5 is powered by the S38 straight-six engine and was produced in sedan and wagon body styles.