Designed in house the third generation hit the Japanese Domestic Market in 1999, whilst it was made available to other markets in late 2000 as a 2001 model. The Philippines and other developing nations received this third generation in 2003. The vehicle was completely redesigned, inside and out and had a lower, wider stance. A lower center of gravity meant the Montero had better on-road handling manners and the newer body had over three hundred percent more torsional rigidity. The biggest change to bring this about was that the montero utilized a unibody construction, as opposed to the previous body-on-frame (box-ladder). This also permitted a longer suspension stroke. The fuel tank was also relocated to between the axles for better safety. The third generation moved one size up from mid-size to full-size SUV., The SS4 system was also further refined, as bevel gears were replaced with planetary ones. This meant the front-to-rear torque setting ranged from 33 to 67, with the ability to adjust to 50/50 depending on surface conditions. The system was also made fully electronic, which meant the vehicle didn’t have to be in gear to switch between drive modes. After all the upgrades, the system was renamed to Super Select 4WD II (SS4-II)., Alongside rack and pinion steering (as opposed to the recirculating ball system on previous generations), the Montero also offered a choice of three transmissions; a five speed manual, a four speed INVECS-II automatic and a five speed INVECS-II tiptronic., An all-new 3.8 Liter SOHC 24-valve V6 powerplant was also introduced on this generation. This engine utilized an Electronic Throttle Valve (ETV), to deliver a refined cruising power with power to spare for offroad ventures., The third generation was introduced on August 2, 1999 and was scheduled to be replaced by the Autumn of 2006, having been restyled in 2003. This was the most luxurious of the three generations, moving to a more upscale segment to compete against the Land Rover Discovery, but more importantly, to counter its home rival Toyota Land Cruiser's growth. The 3.0 L engine's power was decreased to 175 hp and the 3.5 L engine was given gasoline direct injection, increasing power to 217 hp in the Japanese market (export versions kept the standard EFI engine, now with200 hp.