Hyundai Contends Victory Strategy with Launched Palisade, as Price ascends.
The automotive market is abuzz with the arrival of the redesigned Hyundai Palisade, a 3-row family SUV that is making waves with its competitive pricing and enhanced features.
According to Omdia Automotive data, the Palisade starts at a base price of $39,435, undercutting the entry-level Toyota Highlander by a few hundred dollars. The Highlander, the Large SUV segment leader in the U.S. for first-half 2025, boasts a sales volume of 65,419 and a 12.5% share of the segment. The Palisade, however, has managed to secure a 10.9% share, placing it fifth in share just behind its sister-brand Kia's Telluride.
The Palisade's affordability is further highlighted when compared to the base Chevrolet Traverse, which starts at $40,800, making the Palisade a more budget-friendly option. The Traverse, however, has a 12.3% share of the Large SUV sales in H1 2025, with sales volume around 65,000.
One of the standout features of the second-generation Palisade is its integrated dash camera with front, rear, and 64 GB of storage (upgradable to 512 GB). The vehicle is also equipped with a new, more fuel-efficient 287-hp 3.5L V-6 engine.
Hyundai is expecting increased sales and a chance to take greater market share with the redesigned Palisade. The company claims class-leading interior volume in the segment of 181 cu.-ft. (5,125 L) for the second-generation Palisade. The overall length and wheelbase length of the second-generation Palisade have been increased, providing more space and comfort for passengers.
The third-row seats in the second-generation Palisade are power slide and adjust for more legroom. Rex Tokeshi-Torres, an automotive expert who has driven, tested, and rated vehicles for Edmunds, has praised the redesigned Palisade for its improved ride quality and handling. However, it's important to note that Mr. Tokeshi-Torres does not hold a position or function within Hyundai Motor America.
Hyundai is also set to debut an all-new hybrid variant of the second-generation Palisade this fall. The Palisade Hybrid is expected to deliver an estimated 30 mpg (7.8L/100 km) for highway fuel economy, although non-hybrid Palisade models have lower highway fuel economy of 24 or 25 mpg (9.8 or 9.4 L/100 km).
In addition to the Palisade, Hyundai's rival Toyota is also focusing on hybrid powertrains for its large SUVs. Toyota's large SUVs, Sienna minivan, Crown Signia SUV, Crown sedan and Camry sedan, and the upcoming 2026 RAV4 are available with only hybrid powertrains in the U.S.
With its competitive pricing, enhanced features, and increased space, the redesigned Hyundai Palisade is poised to make a significant impact in the 3-row family SUV sector.
