The XM did not enjoy the commercial success of its predecessors, the CX and the DS, which each raised the bar of automotive performance for other manufacturers.

[8] The XM offered active electronic management of its suspension; a partially galvanised body shell and the option of a 3.0 L V6 engine –  the first V6 in a Citroën since the Maserati-engined SM ended production in the mid 1970s.

[10] The XM was intended to compete against prestige vehicles like the Mercedes-Benz W124, Audi 100 and BMW's 5 Series in a sector that accounted for 14.2% of the European market.

[15] It was also offered by Citroën's traditional importer Seibu Motor, who kept selling the XM by themselves after the Eunos brand was discontinued in 1996.

was on the verge of decline as customers opted for offerings from more prestigious marques, a trend which saw Ford pull out of this market sector in 1998 and Opel/Vauxhall in 2003.

As a result, Citroën restructured the range such that all but the base model petrols were fitted with low-inertia Garret turbochargers to add an extra 15 bhp (11 kW).

In mid-1994, the XM received a minor facelift[23] with revisions including a driver's airbag (ending the single-spoke steering wheel), belt-pretensioners, a redesigned dashboard and upper door casings.

The suspension was redesigned to reduce roll, pitch and dive and the design incorporated a passive rear-steering system similar to that on the Citroën Xantia.

Citroën's design chief, Art Blakeslee, believed "the XM is a modern and dynamic shape, with unique styling elements such as the very long, low hood, the extensive use of glass and the kick-up in the belt line".

Another Citroën designer, Daniel Abramson, explained: "We lowered the belt line to give the shape a stronger image.

Abramson is also reported as saying that they "picked three areas to emphasise: 1) A very aggressive look ("Almost sinister"), 2) Lots of glass to create a greenhouse effect, and 3) An aerodynamic accent based on fact (low drag).

The XM was also available as a "Break" (station wagon) – and in France, Tissier continued a tradition begun with the DS and CX, converting many to be used as ambulances and specialised delivery vehicles including their distinctive twin rear-axle conversions.

Sensors in the steering, brakes, suspension, throttle pedal and transmission transmitted car's speed, acceleration, and road conditions to on-board computers to control the ride.

The chassis needed very few modifications to handle nearly double the power in the V6 24V compared to the lowest-end models; the only difference was a somewhat sturdier rear stabiliser bar.

Many problems stemmed from the sensitive electronics controlling the car's hydraulic system, often caused by the poor quality of the multipoint grounding blocks – one on each front inner wing, one at the rear, and one under the dashboard.

Citroën finally addressed this, and for Xantia (which shared the Hydractive system with XM) came up with a modified design of the suspension (centre sphere) regulator valves, which made them immune to hydraulic impulses produced by the road surface, and which could push the older-type valves into Firm mode, just when this wasn't needed.

Interest in these new-type valves has led to a good few XM owners successfully fitting them, and benefiting from a noticeable improvement in smoothness and consistency of ride.

Some production models of the XM were not equipped with the Hydractive system, but had a 'conventional' hydropneumatic suspension closer to that of the Citroën BX.

Another helpful function of DIRAVI is its ability to return the steering wheel to its central or neutral position when let go by the driver, even when the car is stationary.

This is especially helpful when parking as the driver can be assured that his or her wheels will be in the correct position when the ignition is turned off; again this function also aids high speed, straight line driving on highways etc.

The ZF 4HP18 automatic transmission – the late V6 had 4HP20 – was used also in Saab 9000, Peugeot 605, Alfa Romeo 164, Lancia Thema and the Fiat Croma.

This point was driven home in one of the final reviews of 2000, when Richard Bremner's polemical "Parting Shot" essay in Car emphasized these electrical faults.

Bremner paid less attention to the remediation of the problem and to the fact that changed market conditions meant demand for the XM was never going to be the same as for its predecessor.

Headlamp retrofit kits using dual or triple round optics are available from third party suppliers, though this changes the aesthetics of the car.