Words: Kyle Cassidy | Photos: Alex Schultz
Published 10 July 2026
The Palisade continues to push Hyundai further into the premium sphere. Does it justify its elevated price tag?
There was a time when the idea of spending six figures on a Hyundai seemed faintly ridiculous. A couple of decades ago, Hyundai’s flagship sedan was the Grandeur. We dubbed it the “Delusions Of” given it was hardly inspiring. But the brand has moved a long way up in the world.
The Palisade is the flagship model; big, bold and styled to impress. And wearing a suitably impressive ticket too. Although at $129,990, it’s not actually the most expensive Hyundai you can buy, that being the awesome Ioniq 5 N. Yes, it’s a lot of money for what you’d call a non-premium badge, but Hyundai has made big strides in brand perception since its Pony debuted all those years ago.
Still, people do baulk when you say the number. Among mainstream brands, it’s more expensive than a Mazda CX-90 and pushes beyond the top-spec Ford Everest and Toyota Prado.
The Palisade is a big rig, closer in size to luxury SUVs like the BMW X7 and Mercedes-Benz GLS. Sure, it doesn’t have the prestige of those German giants, but it undercuts them significantly while offering a similar sense of scale. It’s also brushing up against entry level BMW X5 and Mercedes-Benz GLE money, while the Volvo XC90 can be had for less. But as it comes in top spec Calligraphy trim, it’s truly loaded.
Diesel out, hybrid in
Where previously Palisade went with diesel power, the new gen model adopts a 2.5-litre turbocharged parallel-hybrid powertrain, paired with all-wheel drive. While there is no plug-in variant, this self-charging hybrid avoids road user charges while still enjoying respectable fuel economy. The 192kW/353Nm engine works with an electric motor in the six-speed auto for a system output of 245kW and 460Nm. The on-demand AWD is aided by a few off-road modes, but with just 187mm of ground clearance and rolling on 21s, you’re not really going off road in this. But the torque lends it a 2000kg towing capacity.
The hybrid is diesel-like in its low-end surge, just without any turbolag or hesitation with the electric motor filling the bottom end with instant torque. So around town it feels well suited to the Palisade’s role as a family hauler. There’s plenty of motivation to move the 2.3 tonnes of SUV without effort. Four-wheel drive grounds the power effectively, and this can move quite quickly when given the jandal. Fuel consumption hovered around the 8L/100km mark during our time with the vehicle and would likely dip into the sevens with a little restraint, Hyundai quoting 7.6L/100km overall.
The only criticism is the blending of electric and petrol power. The Palisade moves away under electric power before introducing the petrol engine when more performance is required and occasionally that transition can feel abrupt. Hyundai’s hybrid system doesn’t have the seamless progress of the best setups from Toyota and Lexus. Once underway, however, it’s refined and quiet.
Too bus-like?
Initially the ride quality feels a bit sharp, not quite as plush as you might like. But it’s settled and soaks up bumps without floating or crashing into potholes. There’s no adaptive suspension, but you don’t feel like you’re missing it.
It’s certainly larger than its Santa Fe stablemate, 200mm longer overall, with a longer wheelbase and wider too. You notice the size in the supermarket carpark and occasionally it requires a second attempt to squeeze into tighter spaces. You rely heavily on the parking cameras, which make it less stressful.
Some of the safety systems might raise your blood pressure though. The Palisade suffers from the same over-eager minders we’ve experienced in other Hyundai models. The speed-limit warning dings are constant and the lane-keeping system likes to intervene. The driver monitoring system will complain if you look away for too long.
And at this price point, some of the semi-autonomous functions need refinement. The lane-centring system isn’t as smooth as the best European alternatives and the lane-change assist feels unnecessarily complicated with its constant requests to approve its operation.
On the open road it’s a relaxed and comfortable cruiser. Road noise is well suppressed and long-distance comfort is sorted. There’s no lack of will on the overtake either.
Come time to round up the sharper bends, its size becomes more apparent. The turn-in isn’t especially sharp, the connection faint. While the roll is tamed, there’s a sense of the weight, and understeer arrives earlier than it would in something like a Mazda CX-90.
Switching into Sport mode helps sharpen throttle response by keeping the petrol engine awake, which is useful on hill roads. In the default Eco mode, the engine is constantly turning on and off, which can leave you waiting for the power when you need it again. Still, this is a vehicle that prefers highways to hairpins.
Genuinely premium?
The Palisade makes its premium play inside. The interior feels quality with finer materials used and a robust fit and finish. And Hyundai has largely resisted the temptation to bury everything inside touchscreens. There are physical buttons where you need them, a proper volume knob, shortcut keys for major functions and climate controls that are easy to use without taking your eyes off the road for too long. The parking camera button however is a stretch, positioned over on the passenger side. And where’s the smart voice control?
The gear selector mounted on the steering column frees up valuable storage space and the start button is positioned alongside, which makes sense.
Storage throughout the cabin is generous, with large door bins, useful cupholders and plenty of places to stash stuff. One wireless phone charger feels a little stingy at this price point, though the abundance of USB-C ports throughout the cabin goes some way toward making up for it.
Plenty of room out back
If you’re buying a Palisade, chances are you’ll have a few gremlins to ferry around. And this does a great job of that. Entry and exit are exceptionally easy thanks to the sensible ride height and enormous rear doors. Our test vehicle featured the bench-seat second row, though captain’s chairs are also available for an extra $1000. Legroom is generous, as is comfort. Rear-seat passengers are treated to heated (in the third row too) and ventilated seats, their own climate controls, multiple charging points, generous storage and even a rear sunroof.
The third row is power-operated and surprisingly usable. Adults will fit for shorter journeys, but children are clearly the target audience, with seat belts for three back there. So in this guise, it’s an eight-seater. Legroom is limited for full-sized passengers, though the seats themselves are comfortable and access is sorted thanks to a smart one-touch folding system for the second row seat.
Even with all three rows in use there’s still enough luggage room for a few bags. Fold the third row away and the cargo area becomes genuinely enormous. And there’s room for a full size spare wheel up underneath.
Smart buying?
When judging the Hyundai Palisade Calligraphy, you might want to ask, how much does the badge matter? This is an impressive premium offering, nudging into luxury territory. It’s spacious, well finished, loaded with equipment, economical for its size and exceptionally comfortable for long-distance travel. It lacks the prestige of a German badge and it isn’t the sharpest dynamically, yet very competent.
It might be a good time for the Palisade, with some owners not wanting to flaunt a new prestige vehicle purchase when others might not be doing so well, yet not wanting to give up the luxuries themselves. The Palisade lets them do that. It’s discreet luxury in a cost of living crisis.
Hyundai Palisade Calligraphy hybrid
$129,990 / 7.6L/100km / 171g/km
0-100 km/h 7.0s
Ambient cabin noise 69.9dB@100km/h
Engine 2497cc / IL4 / T / DI
Max power 192kW@5800rpm
Max torque 353Nm@1800-4500rpm
Motor output 54kW / 264Nm
Battery 1.65kWh
Hybrid System Output 245kW / 460Nm
Drivetrain 6-speed auto / on-demand AWD
Front suspension Mac strut /sway bar
Rear suspension Multilink / sway bar
Turning circle 11.9m (2.5 turns)
Front brakes Ventilated discs
Rear brakes Discs
Stability systems ABS, ESP, TV
Safety AEB, ACC, BSM, LDW, RCTA, ALK, AHB
Tyre size f/r-265/45R21
Wheelbase 2970mm
L/W/H 5065 / 1980 / 1805mm
Track f-1711mm r-1723mm
Fuel capacity 72L
Luggage capacity 712 / 2081L
Tow rating 750kg (2000kg braked)
Service intervals 12 months / 10,000km
Warranty 5yrs / 150,000km
ANCAP rating ★★★★★ (2025)
Weight (claimed) 2304kg
