Toyota RAV4 Plug-in Hybrid vs Hyundai Palisade Hybrid

In Canada, the 2026 Hyundai Palisade Hybrid was offered 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 each 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 was enhanced by 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 of the Palisade was equally striking, 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 discreetly tucked away, hinting at the Palisade's focus on peaceful, efficient driving rather than outright performance. Inside, the Palisade was even more impressive, with standard H-Tex synthetic leatherette upholstery, eight-way power adjustment for the driver’s seat, and three-stage heating elements for the driver’s and front-passenger seat. Higher trims offered additional features like four-way lumbar adjustment, seat ventilation, integrated driver’s seat memory settings, and Nappa leather upholstery on the Ultimate Calligraphy trim. The interior design was a delight, filled with organic and natural shapes, and the storage solutions felt thoughtfully considered and engineered, offering a richer feeling of craftsmanship compared to other non-luxury crossovers.

The 2026 Toyota RAV4 Plug-in Hybrid was available exclusively in grades with the Sport design, including the base SE, the XSE, and the new GR Sport, the latter offered exclusively as a PHEV. The sixth-generation RAV4 maintained the same footprint as the outgoing model, but the new grades could add buffer bumpers that increased the length. The GR Sport’s assertive grille and rear diffuser extended it by nearly five centimetres. The RAV4 adopted a broader truck-like presence consistent with Toyota’s other new SUVs, with boxy wheel arches and bulges over the fenders similar to the Highlander models. Daytime running lights bracketed the corners, and an integrated rear roof spoiler stepped out over a vertical tailgate. The taillights resembled vertical slash marks that narrowed as they homed in on the RAV4 badge.

The Sport trims on the RAV4 Plug-in Hybrid featured more gloss black accents on the rocker panels, fenders, front and rear bumpers, and integrated rear spoiler. The first-ever RAV4 GR Sport, inspired by Toyota’s Gazoo Racing division, showcased racier elements, including red brake calipers peering out of 20-inch black alloy wheels, a big rear wing, and a wide, steep mesh grille flanked by slim vertical running lights. Inside, the differentiation continued with certain trims receiving specific accents, such as the red stitching on the black upholstery of the GR Sport. All three grades had a standard 12.3-inch digital instrument cluster with crisp graphics, and a 10.5-inch touchscreen or available 12.9-inch touchscreen that was better integrated and more streamlined than its predecessor's. The wide centre console housed a mechanical gear shifter on lower grades and a low-profile shift-by-wire setup with the XSE’s Technology Package or the GR Sport.

The 2026 Hyundai Palisade Hybrid defied the stereotype that hybrids were slow, especially for a large, three-row crossover. Hyundai's Palisade Hybrid continued its reputation as a fun-to-drive family car. The hybrid model relied on 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 Palisade's cabin was notably quiet, with noise-absorbing carpet and acoustic glass keeping road and tire noise at bay. The steering feel was sharper than expected for a three-row crossover, with virtually no play off-centre on the highway and nice weight and balance when turning.

The 2026 Toyota RAV4 Plug-in Hybrid adopted an updated 2.5-litre inline four-cylinder engine, rated at 186 horsepower, up from 177 hp the previous year. The PHEV benefited from a larger 22.7-kWh battery pack and smaller, more efficient silicon carbide semiconductors in the power control unit, boosting Toyota's estimated range from 68 kilometres in 2025 to 80 kilometres in 2026. Power increased from 302 hp to 324 hp, making it the most powerful RAV4 to date. All-wheel drive was standard, with the large front motor rated at 203 hp and 201 lb-ft of torque, and a smaller rear motor.

In EV mode, the RAV4 Plug-in Hybrid accelerated off the line with no delay, but plateaued at just under 50 km/h. Auto mode allowed the two propulsion motors and engine to work in tandem, delivering an unofficial 0-100 km/h time in the low five seconds. The other modes included Hybrid, which made the system less reliant on battery power, and Charge, which relied only on the gas engine to recharge the battery. The transition of power was seamless, and paddle shifters allowed drivers to override the computer in charge of the electronically controlled continuously variable transmission (CVT). The RAV4 Plug-in Hybrid offered a spirited ride without sacrificing comfort, with a strengthened chassis accommodating the larger battery pack for great structural rigidity. The GR Sport trim, with its lower stance and 20-inch black alloy wheels, handled more evenly than the XSE, thanks to beefier rear suspension braces and tweaks to the suspension.

The 2026 Hyundai Palisade Hybrid offered 2,455 litres of total cargo capacity, trailing the Chevrolet Traverse, Toyota Grand Highlander, and Honda Pilot, but surpassing other three-row crossovers like 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. Despite these measurements, the Palisade provided a comfortable cabin with dual-zone climate control, second-row HVAC controls, and seven 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 higher trims. The vehicle was also equipped with numerous storage cubbies, including a centre console with a rubberized cargo space and a small shelf ahead of the front passenger seat.

The 2026 Toyota RAV4 Plug-in Hybrid's base SE trim was well-equipped with power-adjustable and heated front seats, five USB ports, and push-button start. The front seats offered adequate bolstering and thigh support, with ventilated seats standard on the GR Sport and XSE trims. Toyota maintained the RAV4's dimensions from the previous generation, optimizing the interior with clever storage features. The dashboard shelf was perfect for small devices, and additional storage shelves were located between the stack and console. The centre console storage could be accessed from either side, and deep door pockets accommodated large water bottles. The RAV4 seated four passengers comfortably, with 960 millimetres of rear legroom, although it fell short of larger models like the Honda CR-V and Volkswagen Tiguan. The cargo area offered 951 litres of space, with a total of 1,798 litres available when the rear seats were folded down.

The 2026 Hyundai Palisade Hybrid was well-equipped with a standard 12.3-inch touchscreen and a matching digital instrument cluster. The touchscreen supported HD and Sirius XM satellite radio, as well as wireless Android Auto and Apple CarPlay. The 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, and a 15-watt wireless charging pad was standard. The Ultimate Calligraphy trim included a built-in dashcam, recording front and rear views to a 64GB SD card. The 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 Toyota RAV4 Plug-in Hybrid featured a new 12.3-inch digital instrument cluster and an enhanced 10.5-inch touchscreen system, with a larger 12.9-inch touchscreen available on top trims. The touchscreen had large customizable tiles and a quick menu for commonly used settings. The cluster graphics and user interface were improved, with three display options and customizable info settings. Toyota's new operating system, Arene, enhanced responsiveness and loading speed. The subscription-based Voice Assistant responded to a broader range of prompts, and the system could locate chargers along the route. The touchscreen also provided data for the plug-in hybrid system, including charging schedules and a range map.

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. The blind-view monitor, typically reserved for the most expensive trims, was standard on the XRT Pro and up, including both hybrid trims. The rear doors featured a safe-exit alert indicator. During testing, the Palisade's ADAS tech performed flawlessly, with no false steps encountered. The 2025 Palisade received a Top Safety Pick rating from the IIHS, but the 2026 model had not yet been crash-tested.

The 2026 Toyota RAV4 Plug-in Hybrid featured Toyota Safety Sense 4.0, with a wider view for cameras and a broader detection range for radar. The system included automatic emergency braking with pedestrian detection, updated lane departure alert and lane keep assist systems, adaptive cruise control, blind spot monitoring, and a safe exit alert. All but the base SE had a surround-view camera system. The enhancements were expected to contribute to the RAV4's strong safety record, although the 2026 model had not yet been crash-tested.