What's the difference?
If you’re in the market for an eight-seat family SUV, the Hyundai Palisade has probably already crossed your radar. But now there’s a twist. Hyundai has taken this well-established large SUV and given it a hybrid powertrain.
That puts it up against familiar rivals like the Toyota Kluger GXL Hybrid and Kia Sorento Sport+ Hybrid which are both strong players in the family-friendly space. The version we’re looking at for this review is the mid-spec Elite and we're family-testing it to see if the new hybrid powertrain makes for a winning combo.
Is 10 years long enough for a special birthday celebration? When you're a kid, hitting 'double figures' is a pretty big deal, and Audi's obviously in the mood to make some noise because it has lit the candles on a limited 10th anniversary version of its compact SUV rocket ship, the RS Q3.
Only 555 examples of the 'RS Q3 Sportback edition 10 years' will be produced for worldwide consumption, with Audi Australia capturing a batch of them and sending one our way for a brief blast as the fiery five-cylinder starts filtering into dealerships.
The new hybrid powertrain for the Hyundai Palisade is a welcome addition for families looking for an efficient three-row SUV that doesn’t drive like a brick and looks good at the school pick up or client lunch. Overall, the Palisade remains a solid, all-round package that deserves praise and the eighth seat is an added bonus.
The Audi RS Q3 Sportback edition 10 years is dynamically brilliant, beautifully finished and surprisingly civilised on day-to-day duty. A polished compact performance package that even in this special 'get-it-while-you-can' guise offers compelling value relative to its direct competitors.
The Hyundai Palisade leans heavily into a more American look. It’s unapologetically big and boxy, with a squared-off silhouette that makes no attempt to hide its size. Up front, there’s a bold grille flanked by oversized vertical LED light signatures, while the rear mirrors that same stacked lighting design. The bonnet is long, the proportions are broad and everything about it is geared towards presence.
The dark-tinted windows, clean body panels and metallic accents gives it a polished edge. It’s the kind of SUV that feels as much at home at a client lunch as it does in the school pick-up line.
Inside, the cabin is genuinely spacious and even without a sunroof, it doesn’t feel closed in. The dashboard has a softly curved, vertical layout that keeps things feeling open rather than bulky.
Thankfully, Hyundai hasn’t gone all in on touch controls and there are still plenty of physical buttons to fiddle with. You’ve got dual 12.3-inch displays and a 14-speaker Bose sound system doing the heavy-lifting with the 'visual' tech side of things.
Thickly padded touchpoints and premium materials round out a cabin that's simply a pleasant space to spend time in.
There's a lot going on with the RS Q3's exterior design; a mix of jagged lights, hard character lines, broad haunches and multiple vents surrounding the brand's signature, six-sided grille up front.
The big 21-inch rims fill the arches nicely and the rear features a deep diffuser with fat exhaust finishers poking out either side.
It's a purposeful, macho look and the Sportback edition 10 years is defined by a black package which adds gloss black to the side window trim, front spoiler blade, side blades, rear diffuser and exterior mirrors.
The limited edition is available in two colours, 'Chronos Grey metallic', which is unique to this model and 'Dew Silver matte' which will now be added to the broader RS Q3 colour palette.
Premium performance feels like the dominant theme inside with a typically Audi tech-focused approach including high-quality brushed metal elements, matt carbon inserts and quilted leather trim on the heavily bolstered front seats.
A meticulous attention to detail is obvious and the bottom line is it's all about the driver. A grippy, flat-bottom, leather-trimmed steering wheel looks as good as it feels, sleek screens enhance the racy vibe and the mix of physical and digital controls is sensible.
Practicality is one of the Hyundai Palisade’s strongest points, and it starts up front. The first row is properly cavernous and, unless you’re the Hulk, you won’t be knocking elbows with your passenger. The seats themselves are wide, deep and well cushioned, making them an easy place to spend a few hours on the road.
The second row continues that theme of space. It’s wide enough to comfortably fit three adults. I tested that with three friends over a weekend trip and no one complained. That said, the bench-style seat does mean less defined support. My nine-year-old pointed out he tends to slide around a bit and that the cushioning is on the firmer side.
Unsurprisingly, the third row is usable but with some compromise. You can fit three small kids or two adults, though legroom is tight unless you slide the second row forward.
Access to both rear rows is easy thanks to the wide door openings and relatively low step-in height, which makes a difference when you’re loading kids in and out.
Amenities across all three rows are well thought out. Up front, you’ve got a good mix of storage options like a large glovebox and centre console, two cupholders, two drink bottle holders, and a handy open shelf that’s ideal for a handbag or Saturday night's takeaway. Charging is taken care of by three USB-C ports, a 12-volt socket and a wireless charging pad.
The second row gets four cupholders, a couple of bottle holders and map pockets, as well as a small drawer that's a good size for snacks or smaller devices. In the second row there’s also climate control, ceiling-mounted air vents and two USB-C ports.
Even the third row doesn’t feel like an afterthought. There are two USB-C ports, four cupholders, directional air vents, plus two ISOFIX points and two top-tether anchors for families juggling car seats.
Tech is easy to live with. The media system is intuitive, the touchscreen is responsive and you get wireless Apple CarPlay and Android Auto alongside built-in navigation. Hyundai’s Bluelink app also allows for remote functions like pre-conditioning the cabin or checking the car’s location, which comes in handy more often than you’d think.
Boot space is another win. With the third row folded, you’ve got up to 712L to work with, and the flat loading area makes it easy to slide in prams, sports gear or a full grocery run. There’s also a bit of underfloor storage for smaller items, along with a full-size spare and a powered tailgate in this grade.
Snug but spacious enough, the RS Q3 Sportback's driver and front passenger are provided with plenty of breathing room without upsetting the intimate, performance car feel. Just be prepared for a bit of head-ducking physical origami when folding yourself into either of the heavily bolstered front seats.
Storage includes door bins with room for bottles, two generous cupholders in the centre console, a lidded tray in front of the gearshift (which doubles as the wireless device charging bay), a storage compartment and owners manual holder under the front seats, a modest glove box and an adjustable front centre armrest with storage compartment.
Given this car measures just over 4.5m end-to-end, a close to 2.7m wheelbase is significant and rear room is generous given the Q3's overall footprint. Plenty of head and legroom (for me at 183cm) with enough width for three adults on short journeys. A trio of up to teenage kids will be fine.
The back seat is able to slide for extra legroom (and slightly less boot space), while backrest angle is also adjustable.
Storage runs to small bins in the doors, a fold-down centre armrest (with two pop-up cupholders) and storage nets on the back of the front seats. Directional and temperature control in the rear for the ventilation system is a big plus.
Power and connectivity options run to a 12V outlet and two USB sockets in the front (Type A and C), another two Type C sockets in the back and a second 12-volt jack in the boot.
Speaking of which, cargo volume with all seats up is a handy 530 litres, enough to swallow CarsGuide's three-piece luggage set or large pram (the latter with room to spare) and 1400 litres with the 40/20/40 split-folding rear seat lowered.
The loading lip is low, a stainless steel sill protector helps minimise scuffs and scratches and the hands-free power tailgate is welcome.
If you're keen to hook up the boat or horse float the RS Q3 is able to tow a braked trailer up to 1900kg (750kg unbraked), but don't bother looking for a spare of any description, a repair/inflator kit is your only option. Boo...
The Hyundai Palisade range is fairly straightforward, offered in two trim levels. We’re looking at the recently added mid-spec Elite here, which sticks with an eight-seat layout and is priced from $76,500 before on-road costs. Step up to the flagship Calligraphy and you can choose between seven or eight seats, depending on how often you’re playing chauffeur.
Price-wise, the Palisade Elite hybrid does sit above its perceivd rivals. The Toyota Kluger GXL Hybrid starts from $71,930 MSRP, while the smaller Kia Sorento Sport+ Hybrid undercuts it more noticeably again at $67,180 MSRP. So yes, you are paying a premium here, but the Hyundai is quite a bit bigger than those two models.
That said, the features list does a decent job of justifying it. You get leather-appointed upholstery, power-adjustable front seats with heating, a heated steering wheel and power-folding outboard seats in the second row, all things that make day-to-day family life a bit easier.
Tech is another strong point. There’s a 14-speaker Bose sound system, dual 12.3-inch displays, built-in navigation, over-the-air updates and three-zone climate control. Charging is well covered too, with six 100W USB-C ports, an additional data port, two 12-volt sockets and a wireless charging pad.
There are a few newer touches worth mentioning. A fingerprint authenticator can store up to two users, which is handy if the car gets shared, and this generation also introduces two digital keys. You also get access to Hyundai’s Bluelink app, which allows for remote functions like pre-conditioning the cabin, locking or unlocking the car and checking its location.
On the practicality front, there’s a full-size spare alloy wheel, a 360-degree camera system and a powered tailgate. Families will also love the four ISOFIX child seat mounts and five top-tether anchor points.
The Audi RS Q3 Sportback edition 10 years is priced at $102,900, before on-road costs, which is a $3800 premium over the standard issue version.
For those extra dollars the car is upgraded with specific 21-inch black alloy rims, black badging and brake calipers as well as (three-stage heated) 'RS' Nappa leather-trimmed sports front seats with contrast 'Copper Honeycomb' stitching.
The fancy stitching extends to the Alcantara-trimmed steering wheel and gear lever, the RS floor mats also feature copper highlights and the door downlighting projects a unique rhombus design.
At that money the RS Q3 lines up against BMW's firecracker X3 M40i ($126,800), the ferocious Mercedes-AMG GLA45 S ($121,900) with the Jaguar E-Pace 300 Sport AWD ($84,500) the only other similarly pitched compact performance SUV within $20K of the Audi.
And as well as the performance and safety tech covered later in the review, the RS Q3's standard features list includes, three-zone climate control, adaptive cruise control, keyless entry and start, Nappa leather trim, ambient lighting (with 30 colour choices), an RS sport contour leather-trimmed steering wheel, 12.3-inch digital instrument cluster, 10.1-inch multimedia display (with text and voice control), (wired) Android Auto and Apple CarPlay, sat nav and wireless device charging.
There's also a Bang & Olufsen '3D Sound System' (15-speaker with 680-watt, 16-channel amp), digital radio, 21-inch alloys, electronically-controlled adaptive dampers, auto Matrix LED headlights (with RS-specific darkened trim) and a hands-free power tailgate. And it's worth noting metallic and pearl effect paint finishes are offered at no extra cost.
Pretty impressive. Especially when you consider even this special edition RS Q3 is $20,000 cheaper than its primary BMW and Merc-AMG rivals.
Under the bonnet, the Hyundai Palisade has made the full switch to hybrid, with the same powertrain offered across both trim levels. It pairs a 2.5-litre four-cylinder turbo-petrol engine with an electric motor, sending power to all four wheels.
Combined outputs sit at 245kW and 460Nm, which is a noticeable step up from the outgoing V6 petrol and 2.2-litre diesel it replaces.
On the road, the six-speed automatic does a smooth job of working through the gears, and the hybrid system keeps things impressively quiet at lower speeds. You’ll still notice the transition when the petrol engine cuts in, but it’s not especially intrusive.
It also retains a braked towing capacity of 2000kg, which should be enough for smaller weekend toys.
The RS Q3 Sportback is powered by a 2.5-litre in-line five-cylinder intercooled turbo-petrol engine sending drive to all four wheels via a seven-speed dual-clutch automatic transmission and Audi's quattro permanent all-wheel drive system based on an electronically-controlled multi-plate clutch pack.
Featuring a cast iron block, alloy head, direct-injection as well as variable intake and exhaust cam adjustment, the (EA855) engine features a special firing order (1-2-4-5-3), the odd number of cylinders producing a signature engine sound and exhaust note reminiscent of the 1980s 'Ur' Quattro.
Peak power is 294kW from 5850-7000rpm and maximum torque is 480Nm delivered across a broad plateau from 1950-5850rpm.
The new hybrid Hyundai Palisade has an official combined fuel cycle figure of just 6.8L/100km and a 72L fuel tank, giving this a theoretical driving range of just over 1000km, which is excellent for a big family mover. My real-world use, after doing a solid mix of open road and urban driving this week, is 7.7L/100km which is a decent result, especially given I’m not shy about utilising power!
Audi's official fuel economy number for the RS Q3 on the combined cycle is 8.9L/100km, the 2.5-litre turbo-petrol five-cylinder engine emitting 204g/km of CO2 in the process. Stop-start is standard.
We covered city, suburban and some freeway running on test, returning an (indicated) average of 9.6L/100km. And that's pretty good, given we pushed on enthusiastically on a reasonably regular basis.
The fuel tank requires 63 litres of 98 RON premium unleaded to fill it which translates to a theoretical range of just over 700km, shrinking to around 650km based on our real-world number.
On the move, the Hyundai Palisade hybrid system feels like a worthwhile addition. Power delivery is smooth and there’s enough on tap to keep up with traffic without any stress. You’ll occasionally notice the transition between electric and petrol power, particularly when accelerating harder from a standstill, but it’s otherwise fairly well resolved.
Where the Palisade really shines is in comfort. It’s an easy cruiser, whether you’re on the highway or just doing the school run. The suspension strikes a nice balance as it’s well-cushioned without feeling overly soft, and there’s enough road feedback to stop it from feeling floaty. For something this size, body roll is also kept in check, so it doesn’t feel out of its depth on a winding road.
Around town, it’s just as easy to live with. The steering has a reassuring weight to it and feels responsive enough, while visibility from the driver’s seat is excellent. You sit high, with a clear view out the front and sides.
The only real quirk is that the regenerative braking can feel a little firm at lower speeds, particularly in stop-start traffic, and it takes a bit of adjustment to smooth things out. But it’s not a deal breaker.
Cabin noise is kept impressively low, even at highway speeds, making it easy to hold a conversation across all three rows, something my passengers appreciated on a recent weekend trip.
Despite its size, it’s not as intimidating to manoeuvre as it looks. The turning circle is a relatively tight 11.94 metres, and the 360-degree camera system does a lot of the heavy lifting when parking. You’re still aware of its footprint in tighter spaces, but it’s far from cumbersome.
It still seems counterintuitive when a high-riding SUV is tuned to perform and handle like a low-slung sports car but here we are. And Audi executes this mystifying transformation as expertly as any carmaker in the automotive world.
Audi says the RS Q3 Sportback will blast from 0-100km/h in 4.5 seconds. Anything under 5.0 seconds is properly fast, and there's nothing quite like the deep-throated bellow of a VW Group in-line five to raise the hairs on the back of your neck.
The RS Q3's sport exhaust system is a dual-branch set-up with exhaust flap control, and people of a certain age will instantly imagine themselves matching it with Ari Vatanen, Walter Röhrl and Michèle Mouton on a suburban special stage behind the wheel of a 1980s Group B Sport Quattro rally car (actually, the school drop off at an infinitely more sensible pace).
The car weighs in at a not insubstantial 1775kg, but 480Nm, available all the way from 1950rpm to 5850rpm, means a near instant surge of fierce acceleration is always lurking under your right foot.
And the VW Group is on the pace when it comes to dual-clutch auto transmissions, from Porsche's 'PDK' and VW's 'DSG' to Lambo's 'DCT' and Audi's 'S tronic'.
The RS Q3's seven-speed unit is quick and positive, the wheel-mounted paddles ramping up the engagement factor.
The variable ratio, electrically-assisted steering is capital G Great. Well weighted and precise with reassuring road feel and the Alcantara trimmed wheel is a nice way to access it all.
Suspension is by struts at the front and multi-links (four) at the rear with adaptive dampers on-board.
Despite running on 21-inch rims, shod with high-performance 255/35 Continental PremiumContact 6 rubber, ride comfort is surprisingly good.
Dial in 'Comfort' mode via the 'Drive Select' system and the impact of even substantial bumps is softened off appreciably.
An ideal set-up would be the first 'RS1' short-cut Drive Select button set for Comfort suspension, with throttle, steering and transmission set to maximum attack and the second 'RS2' mode tweaking the suspension to track-day level, too.
Push on through your favourite set of bends and you can feel the electronic wheel-selective torque control system keeping everything under control. This car puts its power down through sweeping sections with fuss-free authority.
The RS-specific menu in the digital instrument cluster provides extra instrumentation in the shape of a power/torque display, G meter and lap timer. Fun!
The brakes are professional grade with big ventilated rotors all around and aluminium fixed calipers at the front.
But beware, the flip side of the RS Q3's quick steering response is a sizeable 11.8m turning circle. Take your time when parking.
The Hyundai Palisade holds a five-star ANCAP safety rating from testing conducted in 2025, and comes equipped with eight airbags, including curtain airbags that extend across all three rows.
The safety suite is comprehensive, covering most of the expected bases. You get blind spot monitoring, lane keeping assist, lane departure warning, forward collision warning, a 360-degree camera system, front and rear parking sensors, rear cross-traffic alert and side exit assist.
There are a couple of omissions worth noting. It misses out on emergency call functionality, and there are no seatbelt reminders for the two middle seats in the second and third rows.
The adaptive cruise control isn’t well-calibrated as it slows down firmly on hills, up to 10km below the set speed limit, which is better than going over the limit but still makes the system feel a bit clunky in real-world use.
Autonomous emergency braking with pedestrian, cyclist and motorcyclist detection is operational from 5.0-85km/h, and up to 130km/h for vehicle detection.
For families, there’s solid flexibility with four ISOFIX child seat mounts and five top-tether anchor points, making it well set up for multiple child seats across the rear rows.
Although the Audi Q3 received a maximum five-star ANCAP score in 2019, the RS Q3 was specifically excluded from the assessment, so it's officially untested.
But the car boasts an extensive active (crash-avoidance) safety suite including, auto emergency braking (AEB) (5.0km/h to 85km/h for pedestrians and cyclists and up to 250km/h for vehicles), adaptive cruise control (with stop-go function and active lane assist), lane change warning and lane departure warning (with lane keeping assist).
There's also 'Attention Assist' (warning tone and visual signal if the system determines the driver's attention may be lapsing), front and rear parking sensors, a reversing camera with 360-degree view, rear cross-traffic alert, tyre pressure monitoring, 'Hill hold assist' and hill descent control.
If, despite all that, a crash is unavoidable there are six airbags on-board (front and side for the driver and front passenger as well as full-length curtains). The RS Q3's showing its (10-year) age here because additional rear side and front centre bags are close to the norm now.
Nice to see a first aid kit and warning triangle included and there are three top tethers and two ISOFIX anchor points for securing baby capsules and child seats across the second row.
Ownership for the Hyundai Palisade is fairly straightforward and competitive for the segment. It’s backed by Hyundai’s five-year, unlimited-kilometre warranty, which can be extended by a further two years if you service exclusively through the brand.
Servicing costs are also reasonable for a large SUV. You can pre-purchase a three-, four- or five-year plan, with the latter coming in at $2630, which stacks up well against similar rivals.
Intervals are set at every 12 months or 10,000km, and with more than 100 service centres across the country, access shouldn’t be an issue for most owners.
Audi Australia covers all the models it sells with a five-year/unlimited km warranty with 24-hour roadside assistance included for the duration. Pretty much cost-of-entry in this part of the market.
Paintwork defects are also covered for five years, and the body is warranted against corrosion (to the point of perforation) for no less than 12 years. Nice.
Service intervals are 12 months/15,000km and capped-price servicing is available, a five-year/75,000km plan for the RS Q3 costing $3580, an annual average of $770. Fairly steep.
An 'Audi Advantage' package is also available, adding an extra two years' worth of warranty, scheduled servicing and roadside assistance (to the end of any existing term) for $3800.