Demand for hybrid cars is rising because of high gas prices and the elimination of an electric vehicle tax credit. I drove one of the top-selling three-row hybrid SUVs, the Hyundai Palisade.
In the first half of 2026, 22% of shoppers said they would consider a hybrid vehicle, which was up from 20% in 2025, according to Kelley Blue Book. By comparison, only 10% of car shoppers said they would consider buying a fully electric model during the first half of 2026, according to the group.
I drove the 2026 Hyundai Palisade Hybrid Calligraphy for a week to see whether it lives up to its Wards Auto 10 Best Engines and Propulsion Systems, Kelley Blue Book Best Buy and Best in Class – Best Midsize SUV awards.
The Hyundai Palisade Hybrid Calligraphy model
I tested is the top trim of the popular mid-size crossover SUV, and it starts at a little under $57,000. Entry-level Hyundai Palisade models start at a little over $44,000.
I have tested other mid-size SUVs such as the Toyota Grand Highlander and the Kia Telluride, as well several compact SUVs like the Mazda CX-50 and the Toyota RAV4 plug-in hybrid. I've also tested the fully electric Chevrolet Blazer, Toyota bZ and Lexus RZ.
Here's what I learned after a week behind the wheel of Hyundai's popular three-row SUV.
What to know about the 2026 Hyundai Palisade
The Hyundai Palisade stands out for its sleek exterior, luxurious interior features, and smooth handling on roads and highways. The vehicle is available in 10 exterior colors, including the Pacific Sapphire blue model I tested, which consistently drew attention during my week behind the wheel. The Palisade has three interior color options, including the brown model I drove.
During testing, the Palisade's interior and cargo area felt spacious for daily driving needs. I also enjoyed the Palisade's wireless Android Auto, Apple CarPlay, and Bluetooth connectivity. Its 12.3-inch infotainment screen seemed perfect for a modern car.
I drove the Palisade over 100 miles in my week of testing. I put it through its paces on flat interstate highways, suburban streets, and roads with winding hills and tight corners. It handled each terrain with ease.
How does the 2026 Hyundai Palisade drive?
The Hyundai Palisade accelerated quickly, even on very steep hills, and handled tight curves on two-lane roads well. It felt powerful when needed and nimble when agility was required.
The Palisade gets an EPA-estimated 29 mpg in the city and 30 mpg on the highway on all wheel drive models, according to Hyundai. The model I tested showed 513 miles of range on a full tank. After using a quarter of the tank, the vehicle still had 359 miles left on the range.
The Palisade is powered by a 2.5-liter turbocharged 4-cylinder hybrid engine. Hyundai said the model I tested produces 329 horsepower and 260 pounds per foot of torque. All Palisade trims are available in a 6-speed automatic transmission format.
The top-level trim Palisade Calligraphy model I tested came with 21‑inch alloy wheels and premium Nappa leather seats that can be heated on all three rows. First- and second-row seats in the vehicle can also be cooled. It also had a Bose Premium Audio system with 14 speakers.
Will the 2026 Hyundai Palisade fit your lifestyle?
The Palisade Calligraphy model I tested is more than199 inches long, 78 inches wide without considering the mirrors, and over 69 inches tall.
It also came with built-in navigation and WiFi, several Alexa services, and the Hyundai Digital Key 2 application, which lets drivers start the car and adjust temperatures from their phones.
The Palisade is also equipped with safety features such as auto emergency braking, blind-spot monitoring, parking sensors, and lane-keep assist.
The vehicle I tested offered more than 46 cubic feet of cargo space behind the second row, which I found sufficient for luggage and grocery hauls. Even with the third-row seats up, the Palisade offered more than 19 cubic feet of cargo package, which is enough for small packages and carry-on size luggage. With both the second and third rows folded down, the amount of cargo space in the Palisade goes up to more than 86 cubic feet.
The Palisade can comfortably fit up to seven passengers. The model I tested had captain's chairs in the second row for easy third-row access. It offered more than 40 inches of headroom and more than 44 inches of legroom for front-row passengers. Second-row passengers get 40 inches of headroom and over 41 inches of legroom. Third-row passengers get nearly 38 inches of headroom and slightly over 32 inches of leg room.
Is the 2026 Hyundai Palisade worth it?
The 2026 Hyundai Palisade costs less than the average price of a new car, which was $52,331 in September 2026, according to market data compiled by Cloud Theory's MotoMiner platform and USA TODAY Co.'s LocaliQ Automotive. With a starting sticker price that's a little under $45,000, it's lower than the average price of a typical mid-size SUV, which was $50,630 in September, according to Cox.
The Palisade hybrid's pricing ranges from the entry-level SEL that starts at $44,160 to the top trim Calligraphy that retails for $56,780.
I enjoyed the Palisade Calligraphy I tested. The car was fun to drive, and I loved exploring its modern features. The Pacific Sapphire blue exterior color on the model I drove drew positive comments from onlookers who told me they thought it looked good. I also appreciated the Palisade' efficiency as I drove past gas stations that were charging over $4 a gallon. I wish my everyday car got over 500 miles on a single tank of gas in city driving!
If I were shopping for a mid-size hybrid SUV today, I'd likely choose the SEL Premium trim over more expensive versions of the vehicle because it's the highest trim that retails for less than $50,000.
The Palisade hybrid competes in the mid-size SUV segment with models such as the Toyota Grand Highlander, Kia Telluride, Ford Explorer Hybrid, Jeep Grand Cherokee 4xe and Mazda CX-90.
Who should buy the Hyundai Palisade hybrid?
The 2026 Hyundai Palisade hybrid has a lower sticker price than shoppers may be used to seeing for a vehicle of its size in modern showrooms. That plus the included technology makes it a compelling option for buyers seeking an efficient mid-size SUV, with its sturdy handling, distinctive styling, and modern features.
With high prices in the auto sector these days, the Palisade is a great vehicle for anyone looking to get a mid-sized hybrid SUV without completely breaking the bank.
Keith Laing is an automotive reporter on the National Trending Desk at USA TODAY. Contact Keith at klaing@usatodayco.com.
This article originally appeared on USA TODAY: The Hyundai Palisade is one of the cheapest hybrid SUVs. I tested it
