Hyundai Ioniq 5 vs Hyundai Palisade Hybrid

The 2026 Hyundai Palisade Hybrid was available in Canada in two trim levels: Luxury and Ultimate Calligraphy. These trims seamlessly integrated into the existing gas-only Palisade lineup, which included the Preferred Trend, the rugged XRT Pro, and the Ultimate Calligraphy. While the top trim was predictably more impressive, every Palisade trim exuded style and presence. The base Luxury trim came standard with 20-inch alloy wheels, and the front of every Palisade featured a massive grille with horizontal slats framed by LED projector headlights and a stack of five large LED daytime running lights. The profile boasted body-colour, heated side mirrors, with the Luxury Hybrid adding power-folding to their features. Acoustic side glass on the front and rear windows was standard across all trims. The rear view was equally handsome, with wide-spaced letters spelling the vehicle’s name below a large Hyundai emblem, and stacks of five LED taillights wrapping around the rear corners. The exhaust was tucked away, hinting at the Palisade's focus on peaceful, efficient driving rather than outright performance.

Inside, the 2026 Hyundai Palisade was even more impressive. The base gas-only trim levels came standard with H-Tex synthetic leatherette upholstery, eight-way power adjustment for the driver’s seat with two-way lumbar support, and three-stage heating elements for the driver’s and front-passenger seat. Moving up the trim ladder added features like four-way lumbar adjustment, seat ventilation, integrated driver’s seat memory settings, and on the Ultimate Calligraphy trim, beautiful Nappa leather upholstery. The interior design was a delight, filled with organic and natural shapes, and everything felt meticulously crafted. The Palisade’s storage solutions were thoughtfully considered and engineered, offering a richer feeling of craftsmanship compared to other non-luxury crossovers.

The 2026 Hyundai Ioniq 5 combined a 1980s hatchback aesthetic with a hint of modern crossover SUV, resulting in a design that was both unique and functional. The profile was pure hatchback, though larger than the Volkswagen Golf GTIs and Toyota Corollas, with angular lines highlighted by a character line rising from the rear wheels to the front doors. Dark cladding around the wheels and lower body added to the crossover flavour. Up front, a visor slit housed rectangular headlights, and a small grille opened in a darkened fascia that drooped into a frown. The rear featured an integrated spoiler, a darkened top panel housing rectangular taillights, and a dark lower fascia. The hatchback design made it appear smaller than it was, with 19-inch wheels as the default in Canada.

Inside, the Ioniq 5 was more utilitarian than upscale but packed with technology. Cloth upholstery was standard, with synthetic leather available in the Ultimate Package. Black, grey, and teal-grey upholstery options created a rather cold theme. The tech included a pair of 12.3-inch screens side by side, along with touch controls for the climate system below. The overall look was somewhat sterile, which was not unusual for a modern EV.

The 2026 Hyundai Palisade Hybrid defied the stereotype that hybrids were slow, especially in the realm of large, three-row crossovers. Hyundai had turned this notion on its head since the launch of the first Palisade in 2020. The Palisade Hybrid continued its reputation as a fun-to-drive family car in 2026. The hybrid powertrain featured a 2.5-litre turbocharged four-cylinder engine paired with two electric motors and a 1.65-kWh battery. The turbo-four engine alone produced 258 horsepower and 260 pound-feet of torque, surpassing the Grand Highlander’s base hybrid engine. Combined with the electric motors, the Palisade delivered a total of 329 horsepower and 339 pound-feet of torque, ensuring it never lagged, whether in town or on the highway.

The Palisade Hybrid’s performance was further enhanced by its advanced eight-speed automatic transmission and propulsion systems. Hyundai’s next-generation hybrid system eliminated the old platform’s starter motor and auxiliary belts, instead using a more capable electric motor connected directly to the engine. This motor supported a second unit primarily responsible for vehicle propulsion. In low-speed situations or under light acceleration, the Palisade could disconnect the P1 and engine via a clutch, relying solely on the more powerful P2 motor. This optimized powertrain produced more power while consuming less fuel. The advanced hybrid system also aided handling by adjusting power distribution to aid in load leveling. Inside the cabin, noise and vibration were minimal, thanks to noise-absorbing carpet and acoustic glass. The steering was sharper than expected for a three-row crossover, with virtually no play off-centre on the highway. However, the pedals felt a bit squishy, creating a slight disconnect between the steering and pedal feel.

The 2026 Hyundai Ioniq 5 offered a choice between a single-motor, rear-wheel-drive powertrain producing 225 hp and 258 lb-ft, and a dual-motor, all-wheel-drive powertrain with 320 hp and 446 lb-ft. The Ioniq 5 N performance model boasted a dual-motor powertrain delivering up to 641 hp and 568 lb-ft of torque. During testing, the dual-motor powertrain provided quiet, robust power, especially from a stop. Sport mode made the throttle livelier and passing easier, with an estimated 5.3-second 0 to 100 km/h time, making the Ioniq 5 quicker than most gas-powered crossovers.

Drivers could choose from five settings of regenerative braking using the steering wheel paddles, ranging from freewheeling to one-pedal driving. Freewheeling was less intrusive on highways, while the Max setting was ideal for city driving. The steering was direct but somewhat numb, and while handling was pleasant, it wasn’t overly agile. The Ioniq 5’s curb weight of around 2,000 kilograms meant it could push rather than rotate if driven hard into a corner.

The 2026 Hyundai Palisade Hybrid offered 2,455 litres of total cargo capacity, trailing behind the Chevrolet Traverse, Toyota Grand Highlander, and Honda Pilot, but surpassing the Ford Explorer, Nissan Pathfinder, and Mazda CX-90. The Palisade Hybrid’s second-row legroom was slightly compromised due to the battery’s position under the front passenger seat, but it still offered more space than most competitors. The third row, however, lagged behind the Grand Highlander, Honda Pilot, and Ford Explorer in terms of legroom and headroom, measuring a maximum of 815 millimetres and 957 millimetres, respectively.

Despite these measurements, the Palisade offered a more comfortable cabin than its competitors. Dual-zone climate control with second-row HVAC controls was standard, along with seven 100-watt USB-C power outlets. The Palisade Hybrid came standard with a second-row bench seat and seating for eight, with captain’s chairs available on the Luxury Hybrid and standard on XRT Pro and both Ultimate Calligraphy trims. The Palisade was also equipped with numerous cubbies for smaller items, including a rubberized cargo space in the centre console and a small shelf ahead of the front passenger seat.

The 2026 Hyundai Ioniq 5 featured spacious front seats, with an eight-way power-adjustable driver’s seat as standard. The Ultimate Package added a power-adjustable front passenger seat, ventilated front seats, heated outboard rear seats, driver’s seat memory, and a “Relaxation” seat for the driver. The rear seat offered generous legroom of 1,002 millimetres, accommodating two adults comfortably, though a third would find shoulder room cramped.

Cargo space in the Ioniq 5 was slightly smaller than the average compact crossover, with 745 litres available with the rear seats up, expanding to 1,655 litres with the second row folded down. A 24-litre front trunk provided additional storage. The maximum cargo space was slightly less than gas-powered compact crossovers like the Honda CR-V and Toyota RAV4, and the steep angle of the rear hatch reduced cargo usability.

The 2026 Hyundai Palisade Hybrid was well-equipped with a standard 12.3-inch touchscreen and a matching digital instrument cluster. While the screen size was substantial, it didn’t dominate the dash like some oversized touchscreens. The infotainment system supported HD and Sirius XM satellite radio, wireless Android Auto, and wireless Apple CarPlay. A standard Driver Talk intercom system facilitated communication between the first and third rows.

All trims except the base model featured a 14-speaker Bose stereo, while most other tech features were standard across the lineup. A 15-watt wireless charging pad was included, though it wasn’t ventilated and could overheat phones on warm days. The Ultimate Calligraphy trim offered a built-in dashcam covering front and rear views, recording to a 64GB SD card. The 2026 Palisade Hybrid also introduced “Stay Mode,” allowing the climate control and infotainment system to run while the gas engine was off, provided the hybrid battery had more than 35% charge.

The 2026 Hyundai Ioniq 5 boasted up-to-date technology that was easy to use. It featured a 12.3-inch digital instrument cluster and a 12.3-inch infotainment touchscreen under a single piece of glass. Wireless Apple CarPlay and Android Auto were standard, along with built-in navigation. The Ultimate Package added a wireless smartphone charger, a head-up display, and a Bose eight-speaker audio system.

The Ioniq 5 also offered MyHyundai smartphone app functionality, allowing owners to precondition the car, monitor the state of charge, unlock the doors remotely, set charging schedules, check the battery level, and use connected navigation with real-time traffic information. A digital key function was part of the Ultimate Package. The infotainment screen was well within the driver's reach, with a simple command structure and voice command capabilities. Climate functions were controlled by touch in a separate group of controls below the centre screen.

The 2026 Hyundai Palisade Hybrid came standard with a suite of advanced driver assistance systems (ADAS), including blind-spot warning, rear cross-traffic assist, and automatic emergency braking with pedestrian and cyclist detection. Hyundai’s blind-view monitor, which displayed a camera feed of the respective blind spot in the gauge cluster, was standard on the XRT Pro and up, including both hybrid trims. The rear doors featured a safe-exit alert indicator that glowed red when there was traffic coming from behind. The 2025 Palisade received a Top Safety Pick rating from the IIHS, though the 2026 model had not yet been crash-tested by the U.S. National Highway Safety Administration or the IIHS.

The 2026 Hyundai Ioniq 5 came standard with a comprehensive list of safety features, including blind spot monitoring, front and rear parking sensors, rear cross-traffic alert, forward collision warning with pedestrian and cyclist detection, automatic emergency braking, lane keep assist, a driver attention monitor, safe exit assist, adaptive cruise control, high beam assist, rear occupant alert, and Hyundai's Highway Driving Assist 1. The Ultimate Package added a surround-view camera system, blind spot cameras, side parking sensors, brake support for the parking sensors, evasive steering assist, and Highway Driving Assist 2 with automatic lane changes.

The Ioniq 5 earned a Top Safety Pick+ from the IIHS, though no crash test ratings from the U.S. National Highway Traffic Safety Administration were available. The lane keep assist was effective, and the blind spot camera system was a particularly useful feature.