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Finally got this rectified, it was indeed in partial transport mode although the dealer wouldn't use those words. They had to reset and re-install. Apparently the new procedure for disengaging transport mode involves a single switch which is disconnected upon use. So if something doesn't happen as it should, it requires a re-install of the entire system. My dealer then went to all their X3 customers and had to perform the same procedure. Anyone with a Canadian X3 should ensure their vehicle is working properly. For instance I hadn't realized my "welcome" lights weren't working either, the function that keeps the headlights on for 30 secs after you lock the car.
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