Once I come to a complete stop on a barren straight patch of Texas highway, the engine automatically shuts off. Undeterred, I hold the brake with my left foot and bury the accelerator with my right foot. Nothing happens. That is, until I lift my left foot from the brake.
In the blink of an eye, the engine kicks on and the electric motor launches the Palisade off the line. Soon enough, the turbo four-cylinder reaches its horsepower peak, and the nearly 200-inch-long, three-row crossover hustles its way toward triple-digit speeds in short order.
Clearly, traditional methods of accelerating a vehicle do not apply to the Palisade hybrid. But, equally clearly, the new-generation Palisade hybrid doesn’t need them.
A few months ago, the second-generation, 2026 Palisade arrived with a 3.5L V6 under its hood. Now, Hyundai adds a turbocharged 2.5L hybrid to the mix. It brings more power, torque, and fuel efficiency to the table. It also brings more cost and curb weight.

(Photo/Robin Warner) 7.4 How we rate products Specifications Vehicle: 5-door, 7-8-seat, crossover SUV Dimensions: 199.2’ L x 78.0” W x 69.5” H, 116.9” wheelbase Cargo area (behind 3rd/2nd/1st rows): 19.1/46.3/86.7 cu.-ft. Engine: Turbocharged 2.5L I-4 Hybrid Power: 329 hp, 339 lb.-ft. Transmission/Driven wheels: 6-speed automatic transmission/front- or all-wheel-drive MPG: FWD– 31-33 city/32-35 hwy/31-34 cmb, AWD– 29 city/30 hwy/29 cmb MSRP: $45,760 (including $1,600 destination charge), $60,625 (as tested) Pros Smooth operating, quiet-running hybrid powertrain Improved fuel economy compared to the V6 Can keep the A/C on while parked for up to 40 minutes without the engine running Several charge ports and cupholders sprinkled throughout cabin Cons Even the top trim has manual-adjusting steering wheel There are more agile three-row crossovers on the market, this one is a bit soft Door pocket too small to carry a water bottle Underwhelming cargo room, considering this vehicle’s footprint Robin Warner 2026 Hyundai Palisade Hybrid Review

(Photo/Hyundai) Hyundai used that additional footprint to largely increase passenger space. Though, the hybrid battery pack hinders that slightly compared to the V6. You get 178.7 cubic feet of space, compared to 181 offered in the V6.
And the passengers lose all the space, down to 159.6 cubic feet from 161.9. Thankfully, it’s still a lot. And I didn’t feel a tangible difference during my test sits in each row.

(Photo/Robin Warner) Utilizing Electricity Effortlessly Hyundai debuts its second-generation hybrid system in the second-generation Palisade. At first glance, it appears that Hyundai took a close look at Toyota’s Hybrid Max powertrain seen in the Crown and Grand Highlander and replicated. After all, it starts with a turbocharged inline-four-cylinder engine, makes use of two electric motors, and retains the use of a torque converter automatic transmission.

(Photo/Robin Warner) A second, more powerful motor, P2, makes 72 horsepower and 195 pound-feet of torque. It attaches directly to the output shaft of the transmission and can drive the Palisade completely on its own, all the way to and including interstate speeds. P2 consumes power fed from the 1.6 kWh, lithium-ion battery pack.
Altogether, the system produces a healthy 329 horsepower and 339 pound-feet of torque. Or 42 more horsepower and a healthy 79 additional pound-feet of torque over the 3.5L V-6 mounted in the non-hybrid Palisade.

(Photo/Robin Warner) My AWD Calligraphy test crossover weighs a smidge over 5,000 pounds and managed a bit better than 26 mpg on my drive, according to the trip computer. Under the EPA combined mpg number, but commendable considering my heavy right foot.
In a hurry? The added torque and general electric help make the Palisade Hybrid noticeably quicker than the V6 version. Stomp the throttle and after the transmission kicks down, you feel a stout pull. With all-wheel traction, even full throttle from rest results in no wheel slip. Rather, the Hybrid shoves you back into the Nappa leather seat and gets moving with gusto.
In the city, highway, and even the interstate, I felt passing power to spare and weaved through slower traffic stress-free.

(Photo/Robin Warner) Again, just like the non-hybrid, Hyundai adorned the Palisade with a curved display using two 12.3-inch screens — one for the digital instrument cluster, the other for the center display. The latter includes wireless Apple CarPlay and Android Auto, but also several wireless pay options, including Phillips 66, Conoco, and 76 gas stations.

(Photo/Robin Warner) But only the top Calligraphy trim gets Nappa leather–upholstered seats. And both the first and second row of those seats will contort themselves into a relaxation mode, the seat bottom up and the seat back down and, in the first row, raising thigh support. giving folks a nice power nap lounging position. And feel free to keep the climate control on.

(Photo/Robin Warner) Calligraphy trims also benefit from a built-in front and rear dash cam system to give you video evidence of any wrongdoing happening around your car. Nice!
Motoring Along

(Photo/Hyundai) Base price for a front-wheel-drive Hyundai Palisade SEL hybrid starts at $45,760, or $2,220 more than the equivalent ICE power Palisade, which starts at $43,540. However, Hyundai sells a lower SE trim Palisade, which starts at $41,035.
You have to climb up the trim ladder a touch before the hybrid becomes available. My all-wheel-drive Calligraphy test vehicle just crested $60K — $60,625.
But, that includes all the relaxation seating, dashcam, Nappa leather comforts. Not to mention the sole option, $245 carpeted floor mats. For the money, you get — for all practical purposes — a premium, family-sized SUV that will deliver 30 mpg, as long as you keep a light right foot. And that offers its own kind of value argument. The Palisade costs every bit as much as the mainstream competition but offers a nearly premium experience, all while requiring a smaller fuel budget.
The Toyota Grand Highlander also offers hybrid options and quite a bit more cargo space. But the Palisade’s comforts, and its combination of technology and convenience, merit a close look if you’re in the market for a three-row crossover.
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