What's the difference?
The line between mainstream and luxury is getting blurier by the day. As cost-of-living pressures bite Australian families, anyone looking for a new car is looking to extract maximum value without sacrificing too much luxury.
Enter the new 2026 Hyundai Palisade Calligraphy. Sporting a bold and premium new look, loaded with more luxuries than ever before and powered by a new hybrid powertrain, the second-generation Palisade is a clear step forward from its predecessor.
As it should be, because it’s also significantly more than the previous Palisade Calligraphy. That puts it in the same ballpark as the Mazda CX-80 and range-topping Toyota Kluger, but it also means the Palisade is now no longer enormously cheaper than premium SUV options, such as the Land Rover Defender, Lexus RX and Volvo XC90.
So, is the new Palisade a luxury mainstream family transporter or a premium-priced SUV without the premium badge? We drove it to find out…
Chery would likely prefer you forget its initial foray into the Australian market, but doing so would do a disservice to the brand.
We don’t need to go into the nitty gritty of what went wrong back then, but needless to say the first Chery models of around 15 years ago were not particularly good.
Since its return in 2022 Chery is unrecognisable from that first attempt at cracking this market. The Omoda 5, the first model of its relaunch, was flawed but light years ahead of the earlier models in terms of design, presentation and build quality.
It has since expanded with the larger Tiggo 7 Pro and Tiggo 8 Pro Max SUVs and then in late 2024 it added this, the Tiggo 4 Pro. This is Chery’s answer to the likes of the Hyundai Venue, Mazda CX-30, Toyota Yaris Cross, etc in what’s known as the ‘light SUV’ segment.
Chery had a very good 2024, more than doubling its sales, so there are clear signs the brand is enjoying far greater success with its second attempt in Australia.
But is the Tiggo 4 Pro worth buying, if you’re in the market for a compact SUV? Let’s answer that question as we go through all the details.
So, is the new Palisade a luxury mainstream family transporter or a premium-priced SUV without the premium badge?
The reality is, it’s somewhere in the middle. The $14,000 price rise is a huge step up for family buyers, likely an insurmountable sum for many, which leaves them looking at the more affordable (but smaller) Santa Fe, waiting for a cheaper Palisade variant or going somewhere else entirely.
Having said all that, there’s no question, for those who can afford it, the new Palisade is a clear upgrade over the old model in every way. Especially the premium look and feel, which is a leap up, but also the driving experience, with its combination of potent but efficient powertrain and locally-tuned suspension.
So, for those who can afford it, the Palisade Calligraphy will provide a luxury experience at a lower price - which means it does offer good value, just at a higher price.
Note: CarsGuide attended this event as a guest of the manufacturer, with accommodation and meals provided.
Is the Tiggo 4 Pro the best light SUV on the market? No, it falls short in some key areas, but there’s also a lot to like about it.
The driving dynamics needs more tuning to put it on par with its class rivals. I believe the Chinese brand that invests in a local ride and handling program in the same way Hyundai and Kia have done in the past decade will have a big advantage with customers. The Tiggo 4 feels too vague and unresolved at times, especially in the wet, and that could be rectified with some minor tweaks.
The safety systems also need some major work to make them smoother and less intrusive so you don’t go searching for the button to switch them off - which defeats the purpose of having them in the first place.
But if you can look past (or accept) the driving and active safety issues, there are some big plus points for Chery’s latest model. It looks great inside and out, offers up plenty of value and is as practical as a compact SUV can be.
Chery has come a long way in a short space of time and with some more improvements it’s easy to see it continuing its sales growth with models like the Tiggo 4 Pro.
Unlike many of its rivals that adopt a common design theme, Hyundai has made sure each of its models is dramatically different visually.
While there are some common elements that tie them together, comparing the new Palisade to the rest of Hyundai’s SUV range it’s clearly very different.
For the Palisade that means a deliberately big and bold exterior, with the vertically stacked headlights and large grille to create a unique look compared to either the Santa Fe or Ioniq 9. It’s the same at the rear, with more vertically stacked tail-lights.
That bold, premium design theme carries over to the interior, where there are some unmistakable Hyundai elements - like the steering wheel - but the soft, curved lines of the dashboard give it a distinct look compared to anything else the brand is offering at the moment.
Hyundai says the interior is inspired by premium furniture design and that rings true, but it’s also a noticeably tall dashboard, which gives a lot of visual depth to the interior.
To emphasise the premium furniture design and the flagship-nature of the Calligraphy, there are four different colour options for the Nappa leather interior - black, brown, dark charcoal (with brown stitching) and light grey/dark navy.
This is the area where Chery has made immense progress in such a short period of time, which underlines the rapid rate of change the Chinese car industry has been able to manage.
Whereas the J11 I drove all those years ago was a mess, seemingly designed by a team of people not allowed to talk to each other, the Tiggo 4 Pro looks smart and stylish on the outside and in the cabin.
While there are some elements of rival models to the look, there’s also a clear family design to all the Chery Tiggo models that helps create a cohesive look across the range.
It took the South Korean brands nearly two decades to achieve this level of design evolution, so it’s impressive (and worrying for rivals) that the Chinese brands have managed to do it so much quicker.
Inside, the cabin design is not only a major step forward and looks very nice for an SUV at this price point in terms of the presentation and technology.
The dual 10.2-inch screens look more premium than the car's price suggests, as does the lower digital screen for the climate control settings as well as the soft-touch finishes and gloss black trim.
The new Palisade is bigger in every dimension compared to the old model, and that helps translate into a roomy cabin, which in turn does help make it feel more premium.
As mentioned earlier, the Palisade comes with Hyundai’s Digital Key 2.0, which allows you to have a virtual key on your compatible smartphone, so you can lock/unlock and start the car without a physical key. The new fingerprint scanner, which is a small circular scanner in the centre console, allows you to program your Palisade to start by pressing your finger on the scanner.
While the Digital Key is a great concept and has obvious practical benefits, the fingerprint scanner doesn’t make much sense when you can also start the car by pressing the ‘start’ button.
Anyway, once you’re inside, the driver is treated to Hyundai’s ‘Ergo-motion’ seat, which can provide on-the-go massage. Both front seats are the brand’s relaxation seats, which can recline into a more comfortable position if you need to take a nap (obviously not when you’re driving).
In the second row the Palisade comes standard with a three-person bench, but for $1000 you can swap that out for a pair of captain’s chairs. Hyundai expects the split between these to be an even 50-50.
The third row is also a three-person bench, which means the Palisade can accommodate up to eight occupants, if needed. The third row would only accommodate three adults at a squeeze, but would be fine for younger children.
The second row seats can tilt out of the way at the press of a button, to make getting into the third row easier.
What’s really impressive about the Palisade Calligraphy cabin is the level of detail paid to making sure each seat is well looked after. Naturally there are cup/bottle holders and other small item storage spaces, but both the second and third rows get air-conditioning controls as well as heated seats (for the outboard positions), plus there are six 100W USB-C ports spread around the cabin. The front seats are heated and ventilated, and there’s also a UV sterilisation compartment in the front as well as a wireless charging pad.
Out the back the boot is a respectable 300 litres with the third row in use, but it expands to a roomy 712 litres with the third row stowed.
If you do need to fold down either the second or third row seats, you can do it at the press of a button in the boot. There’s also a 240-volt household outlet in the boot which allows you to run small electric devices.
Starting with the question of space, the Tiggo 4 Pro actually offers up good room, for what is ultimately a compact SUV. No, it’s not ideal for a family of five, but for anyone looking for an urban-friendly runabout for singles or couples, it plays that role nicely.
The fronts seats are quite nice, comfortable and offer good support. There’s adequate space in the back to take children, or even adults, with some compromise to the front seat position, but that’s in line with expectations for any model this size externally.
The boot holds a claimed 380 litres, which is quite generous when you compare it to the likes of the CX-3 (264L) and Venue (355L), but can’t match the likes of the Yaris Cross (397L) and Nissan Juke (422L).
The technology in the car is impressive for an SUV this size, especially given the price. The dual 10.2-inch displays look slick, as does the lower screen for climate control, which gives a hint of Audi or Range Rover vibe to the cabin.
The multimedia system is straightforward to use, thanks in large part to the wireless Android Auto and Apple CarPlay, but I did find the ‘Hello Chery’ voice command system hit and miss - although, to be fair to Chery, I find all these voice command systems hit and miss.
One minor amusement is the ‘welcome theme’ that plays when you get in the car. Many brands do this trick, a short musical jingle when you open the door to welcome you inside. The team at Chery went a little overboard, though, and wrote a whopping 15-second theme (yes, I timed it with a stopwatch), which feels like major overkill. Thankfully it can be turned off in the set-up menu.
Hyundai has opted to launch with only the Calligraphy grade for now, but that won’t be the end of the Palisade range. The more rugged XRT Pro variant will be coming in 2026, but no details are locked in just yet in terms of timing or pricing.
So, for now there is just one Palisade to pick, the Calligraphy priced from $89,900 (plus on-road costs). That’s a whopping $14,000 more expensive than the model it replaces, which is a huge jump regardless of the many changes Hyundai has made.
To be fair to Hyundai, the range-topping Kluger Hybrid Grande will set you back $85,135 (plus on-roads), so they’re in the same ballpark. But both are quite pricey for mainstream, family SUVs, especially in the current economic times.
Fortunately, Hyundai has been very generous with standard equipment, befitting the Calligraphy badge. This includes 21-inch alloy wheels, LED headlights and tail-lights, sunroof, a 14-speaker Bose sound system, leather-appointed upholstery, inbuilt navigation as well as Apple CarPlay and Android Auto. There’s also Hyundai’s 'Digital Key 2.0', which launched on the recent Ioniq 9 and an all-new fingerprint scanner - more on those below.
Chery was not backwards in coming forward with the launch of the Tiggo 4 Pro, with Chief Operating Officer Lucas Harris claiming it is “Australia’s best value SUV.” It’s a huge call to make, but there’s no doubt the Tiggo 4 Pro offers a lot for a competitive price.
There are two model grades to choose from, the Urban, which is priced from $23,990, and the Ultimate, which is $26,990 - and crucially both those prices are drive-away.
That gives Chery a clear financial advantage on its rivals. That’s because the most affordable rival is the Hyundai Venue at $22,500 (plus on-road costs), while the cheapest Mazda CX-3 is $26,950 (plus on-roads) and Toyota’s entry-level model in the hybrid-only Yaris Cross is $30,900 (plus on-roads).
Both the Urban and Ultimate feature the same powertrain, so the difference is in their specification.
The entry-level grade comes equipped with 17-inch alloy wheels, dual-zone climate control, a synthetic leather-trimmed steering wheel, dual 10.2-inch screen display (one for the instrument panel and one for the multimedia), digital radio, Android Auto and Apple CarPlay (wired & wireless), ‘Hello Chery’ voice command and all LED exterior lights.
Stepping up to the Ultimate adds 18-inch alloys, heated front seats, a six-speaker sound system, 360-degree surround camera view, a power sunroof and power-folding exterior mirrors.
All told, the Tiggo 4 Pro is a very good value SUV - even if I wouldn’t go as far as calling it the ‘best value SUV in Australia.’
Hyundai has replaced both the old 2.2-litre turbo-diesel and the 3.8-litre V6 petrol with an all-new hybrid powertrain.
Officially known as the 'TMED-II' hybrid system, the set-up combines a new 2.5-litre turbocharged petrol engine with a freshly developed hybrid system that integrates two electric motors, instead of just one.
It’s a very complex set-up that Hyundai spent many spreadsheet graphics explaining, but in simple terms, the two motors are mounted between the engine and the transmission and one motor is dedicated to creating power and the second one to drive the wheels.
The end result is the new Palisade makes a healthy 245kW of power and 460Nm of torque, whilst also being quite fuel efficient.
As mentioned earlier, both Tiggo 4 variants are motivated by the same powertrain. Specifically, it’s a 1.5-litre, four-cylinder, turbo-petrol engine paired with a continuously variable transmission (CVT) driving the front wheels.
It makes 108kW/210Nm, which is quite competitive against its rivals, which adds another layer of appeal. The CVT does a decent job and the engine pulls strongly and smoothly in most situations. It’s one of the more impressive elements of the dynamic package.
Hyundai claims this new hybrid set-up allows for a short amount of all-electric driving range, although it doesn’t reveal how far, but its main priority is to improve fuel economy while creating a viable alternative to the increasingly unpopular turbo-diesel engines.
Which it arguably manages to do quite well. Despite being a full-size SUV capable of accommodating up to eight occupants, the Palisade has a claimed fuel economy rating of just 6.8L/100km, which is an impressively small number for such a sizable vehicle.
While we couldn’t achieve that number on our predominantly open-road test drive, we still returned a solid 8.6L/100km, which is good given the conditions.
The Palisade is fitted with a relatively large 72-litre fuel tank, which means if you can hit the official claim, there is a theoretical driving range of more than 1000km.
The official fuel economy figure for the combined cycle is 7.3L/100km, which is well off class-leading for a compact SUV.
The Kia Stonic has claimed ratings between 5.4-6.7L/100km (depending on the model) and the Mazda CX-3 has a 6.3L/100km claim, but Hyundai’s Venue manages 7.0-7.2L/100km to make Chery’s figure stand out less.
We saw a 9.2L/100km on the trip computer on test, but that was almost exclusively urban driving. The claimed urban cycle figure is 8.9L/100km, so the real-world economy isn’t too far off Chery's claim.
However, it’s clear that the punchy engine performance comes at a cost of efficiency, so that should be factored into your consideration of the Tiggo 4.
It does have a fairly large 51-litre fuel tank, which means it has a theoretical driving range of nearly 700km.
While it may look like a small engine of paper, the hybrid system provides good performance. It offers plenty of punch when you need it, not labouring up hills or when overtaking. But it’s also very quiet and smooth at lower speeds and when cruising, so the powertrain gets good marks.
The Palisade is also pleasant to drive thanks to its locally-tuned suspension and steering. Hyundai has returned to a local ride and handling program, after wavering in the aftermath of the pandemic. Engineers from Hyundai’s Korean headquarters came out to assist and ensure it was as well suited to our unique road conditions.
The result is a large SUV with good body control but also good compliance, which means it feels responsive to driver inputs but the suspension is still able to soak up bumps with relative ease. At no point does it feel crashy or harsh, instead it has a very relaxed driving character.
The Tiggo 4 Pro Ultimate made a strong first impression… until the moment I started driving it. As impressive as the brand’s design evolution has been, there is still work to be done on the dynamic side.
While the engine performance is good, the ride needs some fine-tuning as it’s quite soft, which is good for soaking up bumps but also means less chassis control.
The bigger issues are the steering and the brakes, both of which are below the level of Chery’s rivals in this segment.
The steering is too light, which normally wouldn’t be a deal-breaker as it makes parking and navigating traffic easy, but combined with it being unevenly weighted it becomes problematic.
It leads to a disconnected feeling between the driver and the road, and while I understand that a compact SUV doesn’t have to have sports car-like ‘steering feel’, it feels disconnected and that leads to it feeling vague to drive at times.
It doesn’t help that the Giti tyres fitted to our test car don’t provide very good grip, especially in the wet. During a summer rain shower the front end of the Tiggo 4 felt like it was going to understeer at times, with very little grip when turning, even at low speeds.
This problem is compounded by a long brake pedal, with very little initial bite when you press it. Instead, you need to bury your foot in order to get the Chery to slow with any sense of urgency and that led to some uneasy moments during our test drive.
Then there’s the adaptive cruise control, which I’ll dive into later in ‘Safety’, but has a major impact on the driving experience. Put simply, it has very poorly calibrated lane keeping assistance when the cruise control is activated, which seemingly cannot be turned off, despite turning off lane keeping assistance separately.
This leads to the car drifting in the lane until it finds the lane marking and then rather aggressively tugging the steering wheel to push you into the centre - and then begin the process again. This leads to near-constant tugging of the wheel in your hand which is as unnerving as it is annoying.
Safety was a controversial topic with the first-generation Palisade, with some minor safety systems missed during the rush to get it secured in right-hand drive production, ANCAP decided to test it and publicly slam Hyundai for offering a four-star model. Only to quickly upgrade it to five-stars when Hyundai added the missing safety tech, as planned, when it did the mid-life refresh.
So, after ANCAP’s questionable approach last time, Hyundai took no chances this time around and is confident it will score a maximum five stars when it is tested. No stone was left unturned with the addition of all the required active safety systems and even deleted the central lamp that runs across the grille in other market models.
It has all the usual suspects, including autonomous emergency braking, lane change assist and rear cross-traffic alert, but also gets the more advanced systems like forward junction assist. There are plenty of passive systems, including airbag coverage for all three rows.
Unfortunately, Hyundai still has some work to do on implementing these systems in a seamless manner. The brand has made some improvements, but there are still a lot of ‘bings’ and ‘bongs’ when you change speed limits, veer too close to a lane marking or similar.
It’s great to have these safety systems, but only if they work well enough so you leave them on and pay attention to them.
The Tiggo 4 Pro hasn’t been crash tested by ANCAP or Euro NCAP yet, so there is no third-party safety rating. However, it does come with a comprehensive list of active driver assist systems (ADAS), notably across both the Urban and Ultimate variants.
The list of fitted equipment includes autonomous emergency braking (AEB), emergency lane keeping, lane departure warning, lane departure prevention, adaptive cruise control, integrated cruise assist, lane change assist, rear collision warning, rear cross-traffic alert, door opening warning and a driver monitoring system.
That’s a lengthy array of features, which should score the Tiggo 4 well, however, as we mentioned above, it’s hard to give a good review when some of these systems are so poorly calibrated for real-world conditions that we turned them off (or attempted to).
While some, such as the driver attention system and door opening warning do their job well, others are too intrusive or aggressive when activated and spoil the driving experience.
The key villain is the lane keeping when the adaptive cruise control is activated, with the previously mentioned tugging at the wheel.
This repeated wandering in the lane followed by a firm tug at the wheel is simply not good enough and needs to be recalibrated by Chery as soon as possible.
What makes it so maddening is that other systems seem well-calibrated. For example, the driver attention warning is very good for a modern car, not overly sensitive and emitting a subtle chime when it notices your eyes wandering off the road. So Chery needs to take the same care and precision with its other systems.
Hyundai has recently introduced a seven-year, unlimited kilometre warranty, which covers the new Palisade.
Of course, Hyundai is one of the best established car brands in the Australian market, and has a nationwide dealership network so factory servicing should be easy for most owners. This is a major advantage in these changing times with some many new brands looking to make a mark in Australia with modest foundations.
Service intervals are every 12 months or 10,000km, the latter is a bit shorter than average. And the capped price servicing plan only runs for five years. Costs vary from $397 for a minor check-up to $674 for your fourth visit, but over the course of the five years you’ll pay out $2600.
As a still new-to-Australia brand, Chery has made the smart move and is offering a seven-year/unlimited kilometre warranty plus capped-price servicing and roadside assistance for the same period on all models. This gives buyers taking a chance on an unfamiliar brand some peace-of-mind should anything go wrong.
Service intervals are every 12 months or 15,000km (whichever comes first) and servicing is only $280 for the first five workshop visits, rising to $375.64 for the sixth service and $295.54 for the final one covered by the initial plan.
That means a total of just over $2071 to maintain your Tiggo 4 Pro for the first seven years of ownership.
There are still long-term questions about reliability and residual values Chery needs to answer, but only time can tell what those answers will be. Given that, the seven years of ownership coverage is a strong offer.