First Look Review: 2026 Hyundai Palisade Hybrid is a complete overhaul

With the 2026 model year in the U.S., Hyundai’s flagship SUV will enter the second generation, with a hybrid powertrain for the first time. Alongside the new electrified option, the three-row SUV takes on a bold new look, a revamped interior, new features, and extra convenience for American families.

Recently, we got to spend some time with the 2026 Hyundai Palisade Hybrid which arrives at U.S. dealers this fall, and these were our observations.

Design

The 2026 Hyundai Palisade Hybrid adopts a new design language and looks nothing like the Santa Fe or the Tucson. Exterior transformation includes a wider grille, squared-off bodywork, and T-shaped LED daytime running lights. The hybrid variant incorporates model-specific elements such as blue badging and 21-inch wheels available on the high-end Calligraphy trim.

Interior

Inside, the Palisade Hybrid features dual 12.3-inch displays housed under a single curved glass panel. The infotainment system runs on Hyundai’s new ccNC software and includes wireless Apple CarPlay and Android Auto as standard. A wireless charging pad is also included.

2026 Hyundai Palisade Hybrid dashboard image

Higher trims offer additional features such as ambient interior lighting, second-row captain’s chairs with wing-out headrests, and a new shift-by-wire gear selector.

Hyundai says that sound insulation throughout the cabin has been improved. The hybrid powertrain allows for quieter operation at low speeds by enabling the vehicle to run in electric-only mode under certain conditions. The seating layout accommodates up to seven passengers.

Experience in the 2025 Palisade Hybrid

Thanks to its wide doors, getting in is easy, and with the seat set comfortably for someone 5’8″, visibility is phenomenal. Blind spots feel reduced, aided by huge side mirrors. The steering wheel feels chunky and grips nicely.

Two large touchscreens dominate the dashboard, although they’re not as expansive as the displays found in some GM vehicles like the GMC Sierra or Chevy Blazer. They’re sizable yet unobtrusive. You immediately appreciate the column-mounted drive selector and plentiful physical buttons. It’s not an overwhelming screen-heavy interior.

The seats feel firm, especially the backrest, though the seat cushion itself is comfortable. Bolstering is solid, offering good lateral support. The headliner and pillars feature premium suede-like materials, enhancing the cabin’s upscale feel.

In the second row, with bucket seats, legroom is adequate, about a fist-length between your knees and the front seat for someone who is 5’8″. It’s comfortable but not class-leading. The dual-panel panoramic sunroof, split for front and rear rows, significantly brightens the cabin, making the second row feel more spacious.

Accessing the third row requires stepping up slightly due to the raised floor. You fit comfortably, but taller passengers may find it cramped. Impressively, the third row features power-adjustable and heated seats, and controls placed unusually under the rear-quarter glass. Reclining functionality adds extra comfort, making this row surprisingly well-equipped and inviting.

Features & Specifications

The Palisade Hybrid uses a 2.5-liter turbocharged four-cylinder engine, producing up to 258 hp. Two electric motors in the six-speed automatic transmission add 90 hp, assisted by a 1.65 kWh battery. The combined output is 329 hp and 339 lb-ft of torque, with optional all-wheel drive.

Hyundai Motor America expects the combined fuel economy to reach up to 34 mpg. The target driving range is up to 619 miles, and the towing capacity is estimated at 4,000 pounds.

A hybrid-exclusive feature called Stay Mode allows the vehicle to power the air conditioning and infotainment systems while stationary using battery power. This is designed for situations such as waiting in the car or stationary activities.

The 2026 Palisade Hybrid offers Digital Key 2.0 Premium, Wi-Fi hotspot, Alexa Built-in, wireless OTA updates, and Hyundai Pay in-car payment. Other highlights include Relaxation seats with leg support, eight-passenger seating, second-row captain’s chairs with one-touch tilt-and-slide, power third-row seats with heating, and USB-C ports and cup holders in all rows.

Price & Release Date

2026 Hyundai Palisade Hybrid taillamp

On July 14, Hyundai Motor America confirmed that the 2026 Hyundai Palisade Hybrid will be available in the U.S. in early fall. Prices (MSRP) begin at USD 43,660 for the Hybrid Blue SEL, and tops out at USD 58,280 for the Hybrid Calligraphy AWD variant. The entry-level AWD Hybrid variant is the SEL, which is priced at USD 45,660.