Hyundai Palisade vs Subaru Forester

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 MY26 Subaru Forester packs plenty of punch in terms of standard features, a roomy and functional interior and overall driveability. Sure, it’s not the most exciting vehicle to drive on- or off-road but to get stuck on that is to miss the point entirely. This is a decent all-rounder with a solid background and an AWD system that long ago set the gold standard for vehicles of this type.

In a tough mid-size SUV market segment aimed more at those intent on driving through car parks rather than adventuring through national parks, the Forester offers greater versatility than most and should not be ignored.

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 Forester is 4655mm long (with a 2670mm wheelbase), 1830mm wide and 1730mm high.

The new generation retains more than enough of the previous Forester – blocky profile included – to remain clearly recognisable.

Traditionalists may chafe at the slicker, more citified appearance of this Forester over previous generations but the overall package is inoffensive enough to not elicit any howls of outrage from passers-by on the street.

The Forester’s interior maintains a similar cabin look and feel as before but with a 11.6-inch portrait-oriented multimedia touchscreen dominating up front, a mix of physical and on-screen buttons, as well as soft-touch surfaces and durable plastics.

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 Forester is quite roomy for a mid-size SUV and this is the top-spec variant so there’s leather everywhere.

The interior layout is neat and tidy and lands firmly on the correct side of being practical and familiar, with all controls easy to locate and operate.

The touchscreen offers mostly simple intuitive functionality with infrequent need to cycle through numerous menus and sub-menus to access what you want.

The aforementioned mix of physical and on-screen buttons, as well as soft-touch surfaces and durable plastic are welcome here because, you know... real life.

The front seats offer ample support and the driver is able to dial-in their preferred position via power controls on the eight-way power-adjustable seat (with dual memory). The front passenger has an eight-way power-adjustable seat. Both seats are heated and ventilated.

The 60/40 split folding second-row seats aren’t too shabby either, in terms of comfort and amenities, with a fold-down arm-rest with cupholders and directional air vents etc.

Cargo volume is 496 litres (with rear seat in use) and 1174 litres (with the rear seat down, 1667 litres to ceiling.

The tailgate is powered and hands-free with a kick sensor (apparently). But I never tried that, instead opting for the tailgate-mounted button to open and close it.

The Forester AWD Touring (petrol) is priced at $50,990 MLP while its hybrid sibling is $55,990.

Standard features include an 11.6-inch multimedia touchscreen (with wireless Android Auto and Apple CarPlay), 18-inch alloy wheels, auto LED headlights, dual-zone climate, heated front seats and electric folding rear seats as well as a wireless phone charger.

Top-grade additions include a sunroof, low-profile roof rails, a digital driver display, leather-accented seats, a leather auto-shifter, ventilated front seats and a 10-speaker Harman Kardon audio system.

It also has power-adjustable front seats, sat-nav, auto-dipping and folding door mirrors and a hands-free tailgate.

Exterior paint choices include 'Crystal White Pearl', 'Ice Silver Metallic', 'Magnetite Grey Metallic', 'Crystal Black Silica', 'Crimson Red Pearl', 'Brilliant Bronze Metallic', 'Daybreak Blue Pearl', 'Sapphire Blue Pearl', 'Cashmere Gold Opal', 'Autumn Green Metallic' and 'River Rock Pearl'.

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.

The Forester has the line-up’s 2.5-litre four-cylinder naturally aspirated boxer engine (producing 136kW at 5800rpm and 247Nm at 3700rpm) matched to a constantly variable transmission (CVT), which some people detest, and some people couldn’t give a rat’s whether it’s there or not.

Also onboard is Subaru’s all-wheel drive system, driving modes (including 'Normal', 'Deep snow/Mud', and 'Snow/Dirt') and 'X-Mode' “that constantly monitors the traction available to each wheel and centralises the control of key components including the engine, transmission, drivetrain and brakes to help manage slippery conditions”, according to Subaru.

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.

Official fuel consumption on the combined (urban/extra-urban) cycle for the Forester is 7.9L/100km and it uses 91RON 'standard' unleaded petrol at a minimum.

On this test, I recorded 8.1L/100km. But fuel consumption was as low as a dash-indicated 1.7L/100km while driving the Forester with adaptive cruise control engaged.

The Forester has a 63-litre fuel tank, so, going by our on-test fuel-use figures you could reasonably expect a driving range of almost 780km from a full tank. However, as with any vehicle, once you’ve loaded the Forester with any real-world burdens (e.g kids, dogs, camping gear, etc) you’ll soon see the fuel consumption increase.

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 Forester feels comfortable and composed on sealed surfaces and offers some degree of dynamism to the driving experience – so in line with previous generations.

It feels more refined, sharper to steer and more responsive than before. There’s ample visibility to the front but a substantial B pillar obscures the driver’s vision back over their right shoulder.

The Boxer engine and CVT work well together, power and torque outputs are more than adequate in this package, and that much-maligned transmission is not intrusive if the Forester is driven with care and common sense.

However, acceleration from a full stop is sluggish.

The suspension set-up – MacPherson struts up front and double wishbones at the rear – yields a firm but not jarring sense of ride and handling.

The 1662kg Forester proved nimble to manoeuvre around the Big Smoke, the suburbs and in the bush (more about that soon) with a neat 10.8m turning circle.

All-wheel drive vehicles are capable of tackling off-road adventures in their own right but, for safety’s sake, AWD drivers should avoid anything beyond well-maintained dirt tracks in dry weather. AWD cars are designed for use on bitumen roads with some dirt or light-duty off-road use.

And so it was with our test of this Forester. On-test off-road terrain equalled firm-packed sand and gravel/dirt bush tracks in dry weather, although we did drive through one shin-deep mudhole with no trouble.

The Forester has a listed 220mm of ground clearance, the suspension held up well over a brief stint on mild corrugations and Subaru AWD proved more than up to the task when things became a little trickier, providing improved grip and traction in slippery conditions that demanded to be driven at very low speeds.

If push comes to shove, it’s capable of more than light off-roading, but the Forester’s ground clearance and off-road angles ultimately limit its off-road capabilities.

The Forester’s 'all season' tyres – Falken Ziex Z001A A/S (225/55 R18 98V) – are fine for light to moderate off-roading but anything more difficult than that and you’ll need to get a set of more aggressive all-terrain tyres. It does have a full-sized spare onboard.

It has maximum towing capacities of 750kg (unbraked trailer), 1800kg (braked) and a maximum towball download of 180kg. GVM is 2223kg; GCM is 4023kg.

Some niggles: The driver awareness system is annoyingly over-reactive.

The Forester has the maximum five-star ANCAP safety rating from testing in 2024.

It has nine airbags (dual front, dual front side, dual curtain, driver’s knee, far side and front passenger seat cushion), adaptive cruise control, emergency lane-keep and centring (with departure warnings), pre-collision braking, auto emergency steering, a 360-degree view monitor system, and a driver monitoring system which includes a ‘safe stop’ feature that – if the vehicle detects that the driver is non-responsive – will bring the vehicle to a gradual, you guessed it, safe stop.

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 MY26 Subaru range is covered by a five-year/unlimited kilometre warranty, five-year/75,000km capped price servicing, and 12 months roadside assistance.

A service is required every 12 months or 15,000km, whichever occurs soonest. After your free “1 Month Health Check and Chat”, cost per service is $347.95 (at the 15,000km/12 month mark), $520.45 (30,000km or 24 months), $393.10 (45,000km or 36 months), $679.30 (60,000km or 48 months) and $358.20 (75,000km or 60 months). Average over the five years is $459.80.

Subaru Australia has more than 140 dealerships across the country with a decent spread over metro and regional areas. Foresters may be serviced at those dealers or by approved mechanics.