Hyundai Palisade Adds Hybrid Option

Over the last few years, Hyundai has been on a pretty impressive march upmarket, increasing the quality, performance, and luxury of its vehicles, as well as their price and prestige. The Palisade three-row SUV is most emblematic of that march: it’s big, it’s spacious, it’s luxurious, and it’s priced accordingly. Now, Hyundai has refreshed its flagship SUV with a new design, an even classier interior, and the option of a hybrid powertrain.  

All-New Palisade Hybrid

Palisade was previously only available with a 3.5-liter V6, which carries over to the new model with 287 horsepower and 260 pound-feet of torque. New for the 2026 model year is a high-tech hybrid option, which combines a 258-hp 2.5-liter turbo four-cylinder with two electric motors integrated into the six-speed automatic transmission.  

The hybrid version adds 90 horses, and the combined system output is 329 hp and 339 lb-ft of torque. Hyundai promises highway MPG of over 30, a total driving range of over 600 miles, as well as an estimated 4,000 pounds of towing capacity. That’s a little down from the 5,000 pounds offered by the pure gasoline version, but still more than enough to haul campers, boats, and powersports gear.

Some cool new features have been added to the Palisade to make it that much easier and better to live with. Notable is a new Stay Mode function that lets Palisade owners use the infotainment and climate control systems for extended periods when parked, just like an electric vehicle. The system monitors the hybrid battery’s state of charge to ensure it doesn’t go flat.

Regardless of which drivetrain buyers choose, Hyundai promises an extremely quiet and refined driving and passenger experience. There’s plenty of under-hood insulation, sound-deadening carpets, and laminated glass to ensure that the Palisade drives as luxurious as it looks. Of course, Hyundai’s HTRAC all-wheel drive system is standard, and offers a towing mode that optimizes the powertrain for confident and efficient towing. It handles this by reducing the number of gear shifts and holding lower gears longer during acceleration. Mud, sand, and snow modes let drivers tailor the Palisade’s driving dynamics to harsh conditions.

Never bought a hybrid before? Check out our easy-to-follow Hybrid Cars 101 Guide to get started.

2026 Hyundai Palisade Design

Despite having a low 0.31 coefficient of drag, the Palisade projects a commanding presence on the road, appropriate for its flagship status. There are distinctive vertical LED daytime running lights as well as a center positioning light up front, a huge bold grille with active airflow shutters, and a strong side profile. The Palisade has gained 2.5 inches of length and 2.7 inches of wheelbase, meaning there’s even more space inside, particularly in the rear cabin. Wheels up to 21 inches, larger glass, and a contrasting D-pillar give the 2026 Palisade a more upscale appearance.

Inside the expanded interior, the materials are even more plush and sophisticated than before, giving the Palisade a modern, upscale ambiance that is unique in its class.  

Defined by broad horizontal strokes, the dashboard integrates dual 12.3-inch displays for the instrument cluster and infotainment system, but it’s great to see physical controls for frequently used climate, driving, and entertainment functions. A large center console has a double-door center stack with a lower open tray and a wireless charging pad with built-in cooling. Naturally, wireless Apple CarPlay and Android Auto are standard, and there is an available Bose 14-speaker surround-sound system.

New for 2026 are Hyundai’s awesome “relaxation” seats for first- and second-row passengers, which were originally introduced on the excellent Ioniq 5 EV. These seats provide a nearly lie-flat reclining experience as well as deployable upper-leg supports that reduce fatigue during long seating periods. Eight seats are standard in the Palisade, with the option of second-row captain’s chairs in a seven-seat configuration for a heightened sense of luxury. The third-row seats have available power folding, sliding, and reclining functions. All three rows of seats are available with heat, and first- and second-row seats can be had with ventilation as well.

Loaded With Safety Tech

As you might expect, the 2026 Palisade has Hyundai’s complete suite of active safety technology. Advanced driver assistance systems include forward collision avoidance assist, blind-spot collision warning, safe exit assist, forward attention warning, smart cruise control connected to the navigation system, lane following assist, rear cross-traffic collision avoidance assist, reverse parking collision avoidance assist, and a remote parking assistant.

There are also some very clever and unique built-in features that enhance driver and passenger safety. A built-in two-camera dash cam offers continuous recording while driving and can work with various sensors in the vehicle to record nearby movements when the Palisade is parked. An available UV-C sterilization compartment within the center console keeps devices clean, and a digital rear-view mirror integrates with a camera in the liftgate to provide a better view when the back window is obstructed by passengers or cargo.

This hybrid Palisade even offers an available UV-C sterilization compartment² within the center console storage. An available full-display digital center rearview mirror uses a liftgate-mounted wide-angle camera to help the driver see behind the vehicle when the back window is obstructed by passengers or cargo. Finally, a rear-seat occupant sensor can detect if the rear seats are occupied when driver exits and locks the vehicle, sounding the horn and sending a smartphone alert. This device was developed to ensure that children are never accidentally locked in the vehicle.

Hyundai Palisade Hybrid Pricing and Availability

Built in Ulsan, South Korea, the 2026 Palisade will begin arriving at Hyundai dealers in early summer 2025, with hybrid models scheduled to go on sale in early fall. We don’t yet know the starting MSRP; the current Palisade ranges from $37,200 to start to well over $50,000, depending on configuration. Expect the 2026 Palisade to climb in price to a starting MSRP of over $40,000, with the hybrid version at around $45,000 or more.  

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