Hyundai Palisade vs Audi SQ5

What's the difference?

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.

Let’s forget the money, for a second, because yes, you’re paying more for the Sportback variant. But if you can afford it, then why wouldn’t you. This is a sleeker, sportier and more stylish answer to the regular Q5, which was already a super-solid offering in the segment. And as far as I can tell, the practicality sacrifices you have to make are minimal at best. 

So why not?

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.

Our adventure began with the SQ5, and, to my eye at least, it looks mean, and more like a jacked-up hot hatch than sportier version of a mid-size SUV.

Speaking of which, it looks bigger than a mid-size, too, as though the flattened roof has pushed the rear out for more length, at least visually.

By far its best angle, though, will be afforded to the people in front of you on the road, with each peek in the rear-view mirror revealing a wide, forward-leaning grille, all black honeycomb mesh, with a cat-clawed bonnet and headlights that sweep back into the bodywork, hinting at speed before it even sets off. 

Side on, the massive 21-inch alloys hide red brake calipers, but it does also reveals a tale of two SUVs, with the front half looking taller and straighter, while the rear roofline is more raked as it flies towards a fairly small rear windscreen with a roof spoiler that juts out over it. 

At the rear, the quad exhaust tips (which sound great), and a boot spoiler moulded into the bodywork complete the package.

But even in lesser lesser Q5 45 TFSI guise, this Sportback looks the business, I reckon. Though a little more premium than performance-focused, perhaps.

As the name suggests, the Sportback version gives you, well, a sportier back, and it all starts at the B-Pillar, with a more raked roofline that gives this version of the Q5 a sleeker, more slippery look. 

But they aren’t the only changes. In Sportback models, the single-frame grille upfront is different, and the grille is also positioned lower, and seems to jut out from the bonnet more, for a lower, more aggressive look. The lights are also positioned a little higher, and those massive air vents on either side are different, too.

The cabin is the usual level of Audi niceness, with a big central screen, big digital screen in front of the steering wheel, and a sense of genuine solidity and quality wherever you look.

There are some questionable materials at work, though, like the door trims and the hard plastic that your knee rubs against when driving, but all in all, it's quite a lovely place to spend time.

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.

The Q5 Sportback range stretches 4689mm in length, 1893mm in width, and around 1660mm in height, depending on the variant. It rides on a 2824mm wheelbase. 

And remember when I said there were few practicality penalties for the new sportier look? This is what I meant.

Up front, it's basically the same Q5, so if you know that car, you'll know this one, with its spacious and airy feeling front seats.

In the back, though, things are a little different, just not quite as different as I was expecting. The new sloping roofline has actually only reduced headroom by 16mm. I’m 175cm tall, and there was clear air between my head and the roof, and plenty of leg-room, too.

The central tunnel arrangement means you probably don’t want to squeeze three adults across the back, but two would really be no problem at all. That way, you can deploy the back seat divider to uncover two cupholders, use the two USB charge ports or adjust your climate controls, including temperature settings.

In the 45 TFSI and SQ5 models, the rear seats also slide or recline, meaning you can prioritise luggage space or passenger comfort, depending on what you're carrying.

Up front, there’s heaps of little cubby spots, including a key storage spot under the aircon controls, another in front of the gear shift, a phone slot next to the gear shift, two cupholders in the big centre console, and a surprisingly shallow centre console that’s home to a wireless phone charger and a USB port, joining the regular USB port under the drive mode selector.

And at the rear, Audi reckons there’s 500 litres of storage, only about 10 litres less than the regular Q5,  which grows to 1470 litres with the second-row folded.  

The three-model line-up (two regular Q5s and the SQ5) Sportback range kicks off with the Q5 40 Sportback TDI quattro, which will set you back $77,700 (which is plenty more than the $69,900 of the regular Q5).

The entry-level Q5 Sportback gets 20-inch alloys, a standard S Line sporty exterior styling treatment, LED headlights and tail lights, and an electric tailgate with gesture control. Inside, there’s leather trim, electric sport seats, three-zone climate, paddle-shifters for the steering wheel and ambient interior lighting.

You also get the virtual cockpit, the 10.1-inch central screen with all the Connect Plus services, like live traffic, weather and restaurant tips, as well Android Auto and wireless Apple CarPlay.

The range then steps up to the Q5 45 Sportback TFSI quattro, yours for $86,300. That's another marked jump from its regular Q5 equivalent.

That model delivers a new 20-inch alloy wheel design, a panoramic sunroof, and Matrix LED headlights, The S Line treatment extends to the interior, along with Nappa leather trim, heated front seats and a sliding or reclining rear bench. You get a better sound system, too, with 10 speakers, including a sub-woofer. 

Finally, the SQ5 Sportback is yours for $110,900 (up from $106,500), and delivers 21-inch alloys, adaptive dampers and red brake callipers, while inside you get electric steering adjustments, a head-up display, colour ambient lighting and a banging Bang and Olufsen stereo with 19 speakers.

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.

There are three engines total here, kicking off with the 2.0-litre TDI in the Q5 Sportback 40. It produces 150kW and 400Nm - enough for a sprint to 100km/h in 7.6s. The 2.0-litre TFSI in the Q5 Sportback 45 petrol bumps those figures to 183kW and 370Nm, lowering your spring to 6.3s. 

Both pair with a seven-speed S tiptronic automatic, and feature a 12-volt mild-hybrid system to smooth out acceleration and lower fuel use, as well Quattro ultra, which can disconnect the rear drive shaft so only the front wheels are driven.

The SQ5 gets a seriously lusty 3.0-litre TDI V6 which deliver 251kW and 700Nm, and a sprint of 5.1s It also gets a 48-volt mild-hybrid system, and an eight-speed tiptronic transmission.

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!

All Q5 Sportback models are fitted with a 70-litre fuel tank, which should produce a driving range in excess of 1000kms - though prepare for pain at the pump. Sometimes premium fuel in Sydney can run to around $1,90 a litre, for example, so the good stuff will cost you around $130 bucks a tank in the petrol cars.

Audi says the Q5 Sportback 40 TDI will sip 5.4 litres per 100km on the combined cycle, while emitting 142g/km of c02. The 45 TFSI needs 8.0 litres per 100km on the combined cycle, and will emit 183g/km of c02. The SQ5 sits somewhere in the middle, with 7.1 litres per 100km and 186g/km of c02.

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.

How to best describe the drive experience in the Q5 Sportback? That's easy. And it's 'easy'.

Honestly, I know this is ostensibly the sportier version of the Q5, but the truth is that, in the 45 TFSI version we tested, it's a comfortable, light-feeling drive experience that only ever reveals its sporty nature when you really command it to.

Left in its Auto drive mode, the Q5 45 TFSI will positively waft around town, road noise kept to an absolute minimum, and feeling somehow smaller and lighter than its dimension would suggest.

You can dial-up the aggression by cycling through the drive modes, of course, but even in Dynamic guise it never feels too harsh, too aggressive. More that you've simply tightened the screws a little bit.

Plant your right foot and the 45 TFSI will collect speed in a way that Audi refers to as "hot hatch-like", punching towards the 100km/h sprint with verve and aggression. But having just stepped out of the SQ5, it still feels somehow sedate, and almost relaxing, rather than out-and-out aggressive.

And that's because the SQ5 variant is clearly, purposefully, the performance-focused variant here. I think this V6 engine is an absolute peach, and its the kind of powerplant that inspires you to stick with the vehicle's most dynamic settings, putting up with the just-too-firm suspension settings so you can access more fo the grunt more quickly.

And it feels constantly ready for action. Tap the accelerator and the car bristles, dropping down a gear, revving higher and preparing for your next command.

Through bends, it feels smaller and lighter than you might expect, with plenty of grip and steering that, while not overflowing with feedback, feels true and direct.

Short answer? It's the one I'd take. But you'll pay for it.

The Audi Q5 Sportback carries a five-star ANCAP safety rating thanks to the regular Q5, but that’s really the minimum cost of entry these days. So what else do you get?

Advanced driver-assist systems on offer here include autonomous emergency braking (with pedestrian detection), active lane-keep assist with lane change warning, driver attention assist, blind-spot monitoring, rear cross-traffic alert, park assist, a great surround-view camera, parking sensors, exit warning and tyre pressure monitoring, and more radars than you can poke a stick at. 

There's also twin ISOFIX anchor points, and top-tether points for child seats.

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.

All Audis are covered by a three-year, unlimited-kilometre warranty, which really isn’t great in a world of five-, seven- and even 10-year warranties.

The brand will let you prepay your services, required annually, for the first five years, with the regular Q5 Sportback billed at $3140 and the SQ5 billed at $3170.