BMW X3 vs Hyundai Palisade Hybrid

The 2026 BMW X3 30 xDrive started at $64,092, including destination charges, but buyers often opted for upgrades, easily adding $10,000 to $15,000 to the price. The X3 M50, priced from $81,592, featured numerous upgrades, including a costly Frozen Deep Grey paint job, 21-inch wheels, and Merino leather upholstery, pushing the MSRP to over $100,000 Canadian. Despite the luxurious Amber over Atlas Grey leather, the cabin's austere design struggled to justify the high price tag. The X3's industrial design, described by BMW as "monolithic," was polarizing, with the illuminated grille surround at night giving off "pick-me" vibes. BMW attempted to enhance the interior for 2026 by adding standard artificial leather to the dashboard and door panels.

In contrast, the 2026 Hyundai Palisade Hybrid, available in Luxury and Ultimate Calligraphy trims, integrated seamlessly into the gas-only Palisade lineup. The base Luxury trim featured 20-inch alloy wheels and a massive grille with LED projector headlights. The Palisade's rear view was equally striking, with wide-spaced letters spelling the vehicle's name and LED taillights wrapping around the rear corners. Inside, the Palisade impressed with its organic and natural shapes, offering a richer feeling of craftsmanship compared to other non-luxury crossovers. The interior featured H-Tex synthetic leatherette upholstery, eight-way power adjustment for the driver's seat, and three-stage heating elements for the front seats. Higher trims added features like Nappa leather upholstery and integrated driver's seat memory settings.

The 2026 BMW X3 M50 boasted a turbocharged 3.0-litre inline six-cylinder engine, delivering 393 horsepower and 428 pound-feet of torque, with power available between 1,900 and 6,250 rpm. BMW claimed the M50 could accelerate to 100 km/h in 4.6 seconds. The M50 also featured performance hardware, including an M Sport rear differential, M Sport brakes, and an Adaptive M suspension. The base X3 30 xDrive, with a 255-horsepower turbocharged 2.0-litre four-cylinder engine, reached 100 km/h in 6.3 seconds. Both models came standard with all-wheel drive and a 48-volt mild hybrid system, contributing to a fuel economy rating of 8.6 litres per 100 kilometres in combined driving.

The 2026 Hyundai Palisade Hybrid, on the other hand, featured a 2.5-litre turbocharged four-cylinder engine paired with two electric motors and a 1.65-kWh battery, producing a total of 329 horsepower and 339 pound-feet of torque. The Palisade's advanced eight-speed automatic transmission and hybrid system optimized power distribution, resulting in impressive performance and fuel efficiency. The Palisade's cabin was notably quiet, with noise-absorbing carpet and acoustic glass keeping road and engine noise at bay. The steering was sharp, with minimal play off-centre, while the pedals felt a bit squishy, creating a slight disconnect between steering and pedal feel.

The 2026 BMW X3 featured heated, power-adjustable front sport seats wrapped in Veganza, BMW's vegan artificial leather upholstery. The front seats were comfortable and supportive, but rear passengers might find the seat cushion too low. The X3 offered a generous cargo space of 892 litres, expandable to 1,900 litres with the rear seats folded. A temporary spare tire was included under the cargo floor, a rarity in modern vehicles.

The 2026 Hyundai Palisade Hybrid offered 2,455 litres of total cargo capacity, trailing some competitors but surpassing others like the Ford Explorer and Nissan Pathfinder. The Palisade's second-row legroom was slightly reduced due to the battery's position, but it still offered more space than most competitors. The third row, however, had less legroom and headroom compared to rivals. The Palisade's cabin was comfortable, with dual-zone climate control, seven USB-C power outlets, and a second-row bench seat standard. Captain's chairs were available on higher trims. The Palisade also featured numerous storage cubbies, including a rubberized cargo space in the centre console.

The 2026 BMW X3's dashboard was dominated by the BMW Curved Display, featuring a 12.3-inch digital driver display and a 14.9-inch touchscreen infotainment system. The system ran BMW Operating System 9 with QuickSelect, offering cloud-based navigation, Augmented View video, and more. However, real-world issues arose, such as difficulties with Guest mode and a peculiar instance where Apple CarPlay played music through the smartphone speaker instead of the Harman Kardon stereo.

The 2026 Hyundai Palisade Hybrid came equipped with a standard 12.3-inch touchscreen and a matching digital instrument cluster. The infotainment system supported HD and Sirius XM satellite radio, wireless Android Auto, and Apple CarPlay. A 14-speaker Bose stereo was included on all trims except the base model. The Palisade also featured a built-in dashcam on the Ultimate Calligraphy trim and introduced "Stay Mode," allowing the climate control and infotainment system to run while the gas engine was off.

The 2026 BMW X3 came with a comprehensive suite of driver assistance systems, including forward collision warning, automatic emergency braking, lane departure warning, and an active blind-spot monitor. The optional Driving Assistant Professional Package added features like lane-centring assist and adaptive cruise control with hands-free traffic jam assist. The X3's crash-test ratings from the NHTSA were a mix of four- and five-star ratings, resulting in an overall four-star rating. The IIHS awarded the X3 its highest Top Safety Pick+ rating.

The 2026 Hyundai Palisade Hybrid also offered a robust suite of advanced driver assistance systems, including blind-spot warning, rear cross-traffic assist, and automatic emergency braking with pedestrian and cyclist detection. The blind-view monitor was standard on higher trims, and the rear doors featured a safe-exit alert indicator. At the time of writing, the 2026 Palisade had not been crash-tested by the NHTSA or IIHS, but the 2025 model received a Top Safety Pick rating.