Hyundai Palisade vs Lexus RX350

What's the difference?

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.

The RX is a big SUV that doesn't always look, or drive, like one, and – in 500h guise especially – can put a smile on a driver's face, too.

Gone are the cabin quirks and the polarising design elements (well, mostly...), and in their place you'll find a solid, premium-feeling family offering without much in the way of drawbacks.

Note: CarsGuide attended this event as a guest of the manufacturer, with travel, accommodation and meals provided.

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.

Honestly, the Lexus RX looks far more powerful, and cohesive, in the metal than it does in some photos, and in the right colour (we're fond on the deep black or the copper-rose hues), it looks downright fetching.

That Predator-shaped front-end is massive, but the way the Spindle grille kind of bleeds in the body work at the nose of the vehicle is a neat trick, and the whole design ethos gives the RX a sportier, more modern, and more intimidating, energy from almost every angle.

Perhaps the most clever element though is the wave-like design piece that links the rear window with the boot, somehow managing to shrink almost-five-metre SUV (visually, at least), and leaving the RX looking more sporty than hulking.

The door handles are cool, too. They’re fixed, and you just touch them to open the door, with a similar system used once inside to get out again.

Inside, Lexus has gone for a clean, modern-feeling space, and, thankfully, there isn't a Remote Touch trackpad in sight. Instead, you can choose between two screen sizes – 9.8- or 14.0-inch – which kind of dominate the dash, while the air-con controls are digital and interactive, too.

It must be said, though, some interior treatments feel far more special than others, and while Lexus in Australia isn't spilling on specifics for our market just yet, the top-spec models will almost certainly feel more plush than the cheaper ones.

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.

The entire RX range now rides on Lexus' GA-K platform, which is lighter (-40kg), more rigid, and offers a lower centre of gravity (-15mm) than the model it replaces.

The RX is wider (+25mm to 1920mm), lower (-10mm to 1695mm), but no longer (still 4890mm) than the outgoing model. But Lexus has lengthened the wheelbase (+60mm to 2850mm) to earn some extra backseat space for rear riders.

And it must be said, there is lots of room for backseat riders. Sitting behind my own 175cm driving position I had more than enough knee room, and enough head room, and a general feeling of airy spaciousness.

Elsewhere you get the usual practicality perks, with two cupholders up front, two more in the pull-down seat divider that splits the rear seat, and there are two ISOFIX attachment points in the back seat, too.

Charging is handled by a four USB ports, and depending on the trim/spec balance Lexus in Australia shoots for, you should at least find vents with temp controls for backseat riders, too.

Lexus is yet to confirm the luggage space specs for the new RX, but given it’s only being offered with five seats, and that there’s been no change to the vehicle’s length, you can expect a fair bit of room for bags in its auto-opening boot.

This is an arbitrary seven out of 10, here. Because we don't yet know how many trim levels the new RX will launch in, how much each will cost, or what you'll get for your investment.

What we do know is that the RX will launch with three powertrain options: an all-new turbocharged hybrid, a second, more conventional hybrid, and a turbo-petrol engine. There’s a plug-in hybrid version available overseas, but we ain’t getting it. Or at least, not yet.

In terms of specific trims and equipment levels, you’ll need to wait until closer to the RX’s launch in early 2023 for the full skinny. But you can expect a choice between a 9.8-inch or 14.0-inch central touchscreen with wireless Apple CarPlay and Android Auto, an eLatch door system with fixed handles that unlatch at the push of button inside and out, as well as more high-tech safety kit (thanks to Lexus Safety System 3.0) than you can shake a radar at.

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.

Let’s start with what we’re not getting at launch. Internationally, there's a new plug-in hybrid variant that pairs a 227kW hybrid system with a 18.1kWh lithium-ion battery for an EV driving range of more than 65kms, but fight though Lexus in Australia did, it couldn't secure the model for our market at launch. It wants it though, and badly. So watch this space. 

Instead we get three options, including the RX 350h, which pairs a 2.5-litre petrol engine with Lexus' existing hybrid system to produce a total 180kW and 316Nm. It's paired with a constantly variable transmission and will be offered in two- or all-wheel drive.

There’s also a turbocharged 2.4-litre petrol engine on offer in the RX 350, good for 205kW and 430Nm, and paired with an eight speed automatic and AWD.

But the powertrain I really, really like lives in the RX 500h F Performance, and pairs a 2.4-litre turbocharged petrol engine with an electric motor up front, and a second at the rear axle, for a total of 273kW and 551Nm.

The all-new hybrid system has been designed with turbocharged engines in mind, and features a single electric motor at the front, and a bigger rear motor, with the latter able to provide real driving power to the rear tyres - and contribute to a sprint to 100km/h of just 5.9secs.

Lexus calls it an 'eAxle' motor, and it can deliver some 76kW to the rear tyres. It pairs with a 'DIRECT4' all-wheel drive system which the brand says improves "handling, controllability, and feel."

Fitting, then, that it features on the RX 500h F Performance, which also introduces a new go-fast tier for the Lexus brand (though one you can expect to see more frequently in the near future), and which sits between the existing F Sport and the top-tier, full-fat F models.

The brand says things like bigger brakes, performance components and the highest power outputs will be reserved for the F Performance models. And so it is with the RX 500h F Performance, which welcomes six-piston front brakes, adaptive variable suspension, dynamic rear steering and 21-inch wheels.

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.

Let’s start with the pure-petrol RX 350, which will sip a claimed 8.8 litres per hundred kilometres on the combined cycle, and will demand premium petrol. The RX 350h is more fuel efficient, demanding 6.4 to 6.7 litres per hundred kilometres on the combined cycle.

But the most impressive is the RX 500h, which Lexus says will need 8.2 to 8.5 litres per hundred kilometres — making it more efficient than the petrol-powered RX 350, despite producing an extra 68 kilowatts of power and 121 newton metres of torque.

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.

Right, let’s cut to the chase here. I like the way the all-new RX family drives, pretty much across the board. If that’s all the information you want or need, feel free to check out here and move on to the next sub-heading.

Still here? Ok, then let’s go a little deeper.

None of the powertrains on offer feel under-powered in the RX range, which is a good start, but they all do their jobs a little differently. 

The RX 350 is probably the most familiar, with a traditional automatic and that well-known petrol-powered punch. It’s not the most powerful engine on offer here, but it’s more than enough to get the RX up and moving — but, for mine, it can feel a little thrashy (or like it’s straining a little too hard), when you really start to push it, but such is the price you pay for a four-cylinder engine pushing a large SUV.

Next up is the RX 350h, which Lexus reckons will be the best-selling model in Australia. Lexus and Toyota have been doing hybrid powertrains for some time now, and the system fitted to the new RX is predictably solid-feeling, though it too has its drawbacks – namely that the constantly variable transmission can drone on and on under constant acceleration, and even the commendably insulated cabin can’t block it out completely.

So if this is a Goldilocks’ scenario, then the just right has to be the RX 500h, which blends its powerful powertrain with a traditional-feeling automatic to deliver plenty of performance and a tight, engaging drive experience that makes it feel as though the big SUV is somehow shrinking around you from behind the wheel, courtesy of the best performance kit (brakes, adaptive suspension, etc).

But to be honest, no matter the RX, the thing that really stands out here is its on-road dynamics. The car doesn’t really wobble about, there’s not much in the way of body roll, and it feels tight and confidence inspiring, no matter the model - but especially the rear-wheel-steering equipped 500h.

The RX also does a commendable job of locking the outside world outside of the cabin. Where you want it to be a calm and sedate family hauler, it can be that. But it can also put a smile on your face on the right road, too.

And that, I think, is something to be celebrated. And also not something we’ve come to associate with Lexus over the years. But that’s now beginning to change. Long live F Sport Performance, then.

The Lexus RX welcomes the brand's Lexus Safety System 3.0 setup, which means more high-tech kit than you can shake a radar at.

What appears where on the Australian lineup remains to be seen, but internationally the RX will offer things like Advanced Park, remote parking from your smart phone, Safe Exit Assist that will actually prevent you opening the doors should the cameras detect pedestrians or cyclists, and Pre-Crash Safety, which scans intersections for bikes, people or cars, and activate alarms and the brakes should it sense a collision.

That, and things like Front Cross-Traffic Alert, active cruise, Lane Departure Warning and Lane Tracing Assist, road-sign recognition and Lane Change Assist, should see Lexus shooting for a five-star ANCAP safety rating.

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.

The Lexus family is covered by a five-year, unlimited-kilometre warranty, which is about bang-on in the premium-vehicle space. 

While servicing details are yet to be confirmed, the previous RX required a trip to the service centre every 12 months or 15,000kms, and it will fall under the brand’s capped-price servicing program, and the Lexus Encore program, which offers all sorts of perks to owners.