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The 2004 BMW 325i uses Dexron VI transmission fluid, which is a synthetic fluid that meets and even surpasses BMW's SP3 requirements. It's important to regularly check your transmission fluid whenever you get an oil change. Ensure that it's topped off and clean from any debris. If there is metal debris in the fluid, it can make it glittery or shiny, indicating potential damage. The transmission fluid's purpose is to safeguard the gears from metal-to-metal contact, which can cause wear and tear. Remember to replace the fluid every 50,000 miles for optimal performance.
The 2004 BMW 325i should be using the recommended Dexron VI ATF automatic transmission fluid for optimal performance.