XGIII: Extreme G Racing is a futuristic racing game. Six teams are competing to win a racing championship, the player taking control of any of the two riders available in each team. The game retains the action elements of the previous titles: as before, opponents will try to sabotage the race, and the player-controlled character is able to answer them with his own arsenal of weapons.
Unlike the previous installments, weapons cannot be picked up on the road: the player has to purchase them with the money earned after a successful race. All weapons now deplete the player's weapon bar with each shot. Another change is the absence of the "nitro" boosts utilized in the previous entries; they have been replaced with a turbo system, where using the boost drains energy from the player character's shields.