Volvo XC90 vs Hyundai Palisade

What's the difference?

It’s a credit to Volvo that the XC90 feels like a new car, even with its older underpinnings. This latest update has successfully addressed areas that needed the most attention, namely the multimedia system, interior and exterior design. The electric driving range now feels somewhat old school compared to the numbers some manufacturers can achieve these days. A lot of PHEVs now exceed 100km EV range and buyers are starting to expect that. And setting up the third row takes way too much effort to want to do it regularly. The new Volvo XC90 is a comfortable, engaging and properly premium family SUV and the updates have only improved what was already a solid offering.

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.

Back in early 2015, I attended the international launch of the second-generation Volvo XC90. At the time I thought it was a handsome SUV, with Volvo successfully interpreting what is essentially a big people-hauling box on wheels with typical Scandinavian flair.

There’s been a facelift since then, but this latest refresh brings the XC90 bang up to date.

New elements include a modern take on the 'Thor's Hammer' LED headlights, and a new bonnet and grille with an updated diagonal logo spread across the car's face. At the rear the only change is slightly darker tail-lights.

The new grille in particular looks great, and with all of the blacked-out elements of the T8 - grille, lower air intakes, parts of the apron, mirror caps, roof rails and window surrounds - it looks quite cool, especially contrasted with the test car's 'Crystal White' paint. It has elevated the overall look.

Inside, Volvo has made big changes, mostly with the dash and console. It retains the familiarity of other Volvos, but is much more in keeping with its new all-electric EX90 sibling.

It still has a horizontal theme, but with cool new vertical air vents. The new multimedia screen fits well into the dash layout, and isn’t over sized. It’s the ideal size at 11.2 inches. There are a few buttons underneath but not many.

The mix of materials used at the front of the cabin includes ‘Grey Ash’ wood, piano black, chrome, metal-look speakers, grey fabric and soft touch as well as hard plastics. It sounds like it would be too much but it works well.

Volvo has always been a leader when it comes to car seats and the new XC90 is no exception. The beautifully designed ventilated charcoal Nappa leather seats look and feel stunning. The tiny Swedish flag is a nice touch, too.

The engine start/stop button and the crystal selector add a touch of glamour to the cabin. Overall, the XC90 feels properly premium inside, still with a Scandinavian bent. Just lovely.

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.

Any dedicated seven-seat family SUV needs to nail practicality and when it comes to the Volvo XC90, there are clear pros and some surprising cons.

One of the many pros is the seats. As mentioned, they look schmick, but are also supremely comfortable and offer the perfect level of bolstering and support. The T8 has a seat adjustment memory function that can be programmed into the driver profiles that also tailors other functions to suit different drivers.

The quality of the materials and build quality of the cabin is largely impressive. Even the damping of the indicator stalk has a feeling of high-end quality.

Volvo’s digital instrument cluster is clear and easy to navigate, once you work out what the buttons on the steering wheel do. They don’t have words on them so it takes a while. The driver’s manual comes in handy for this.

The big story in the cabin is the new 11.2-inch multimedia display. Volvo uses a Google platform and the car comes with Google Services which includes Google Assistant voice control, Maps and Play.

I’m a fan of Apple CarPlay and once I have assessed a car’s in-house multimedia system I often defer to CarPlay. It’s simple and familiar. But aside from using CarPlay to connect once, I used Volvo’s system for the vast majority of my time with this car.

Logging into your Google account means your favourites come up on the map and there is no downside to functionality. If I had the car for longer I would've added Spotify to the system and logged into that, too, but I was happy listening to digital radio on the phenomenal 19-speaker Bowers & Wilkins sound system.

The screen takes some familiarisation, but once you understand the home keys and how to switch between apps, it’s a pleasure to use. It has a clear layout, nice graphics and is responsive. Yes, the air con controls are mostly housed in the screen, but if you tap the lower part of the screen the entire climate menu appears. It is light years ahead of Volvo’s previous screen set-up.

Most functions are housed in the screen, although there are buttons just under the screen for volume and audio on/off, front and rear demisters, hazard lights and a button to open the glove box.

Storage up front is just okay. The console houses shallow cupholders and a handy upright phone holder, as well as the device charging pad. It’s a shame there’s no under console storage, but the transmission tunnel might be too chunky for that.

The shallow central bin houses two USB-C ports and a 12-volt outlet. Bottle storage is decent in the front door cards.

The panoramic sunroof only has a sheer blind (it’s powered) which is less than ideal in a country like Australia. It’s been fine in winter but I’m curious to know what it’s like in the height of summer.

The second row features manual window blinds to keep your little ones cool.

There’s some back support for the second-row seats but the base is flat. Some of the seat fabric in that row looks like it doesn’t quite fit, but I think that’s the nature of the leather with the intricate designs.

In terms of space, there’s ample leg, toe and headroom, and the rear backrests recline for extra comfort on long trips. The bases roll forward and back and the seats are split 40/20/40.

Kids will likely fight over who has to sit in the middle seat because the combination of an intrusive transmission tunnel and the rear of the front centre console protruding into the space means it is not a great seat.

Occupants have access to chest and knee-level air vents, heated seat and digital climate controls, map pockets, two USB-C ports and a central fold-down armrest with a fiddly cupholder mechanism. The rear doors will only house small, narrow bottles.

Accessing the third row of the Volvo is challenging. For starters, to move the second row seats forward you need to use the lever at the top of the seat and the roller under the base to move them. And they are heavy seats. That leaves just enough of an aperture to get into the third row.

But first you have to raise the third row. Sadly there’s no lever in the boot area to quickly raise or lower the third-row seats. You have to either climb into the boot and reach for the lever at the top of the seats, or reach through the back door and try and raise them that way. And again, they are heavy.

It is a deeply unintuitive system and leaves you exhausted and frustrated. Especially when you consider other seven seaters have a much more functional and lightweight third-row arrangement.

Once in the third row, it’s clear it is for humans with tiny legs only. It is not a space appropriate for six-foot tall men like me, even for short distances. You do get ample headroom, air vents, cupholders and storage boxes on either side that open up to show a kid-friendly spider web design with a friendly looking spider. Cute!

The seats fold flat into the boot floor and the loading lip is level with the floor so loading heavy or long items should be a breeze. You can adjust the air suspension from the boot to lower the height further which is always a handy feature.

It comes with a solid cargo blind but you need to remove it if you want to raise the third row. When putting it back in, it catches on the third-row seat belts, so it’s not the best design.

In terms of boot features, the Volvo comes with a household charging cable that is housed neatly under the boot floor in a stylish bag. Many PHEVs and EVs still don’t have a dedicated spot to house a cable so you have to take up boot space with a chunky cable bag. Good job, Volvo.

It has a powered tailgate, a few nooks and a pair of 5.0kg hooks. However, it doesn’t have a spare wheel of any description. Just a tyre repair kit. This is due to packaging restrictions, but it’s never an ideal solution.

In terms of space, the Volvo can swallow 640 litres of cargo with the second row up and 301L with all three rows in place. That latter figure isn’t bad compared to some seven-seaters.

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 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.

Two powertrains are available in the new XC90, both with all-wheel drive.

The B5 Bright comes with a 2.0-litre four-cylinder turbo-petrol engine with 48-volt mild hybrid assistance offering 183kW of power and 350Nm of torque. It can dash from zero to 100km/h in 7.7 seconds.

The version I’m testing has a 233kW, 2.0-litre four-cylinder turbo-petrol engine with a plug-in hybrid system that uses a 107kW electric motor and an 18.8kWh, 400-volt battery.

The total system output for the T8 PHEV is 340kW and a meaty 709Nm. It uses an eight-speed automatic transmission. It can complete the 0-100km/h sprint in a brisk 5.3 seconds.

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 mild-hybrid XC90 B5 Bright has an official fuel use figure of 8.1 litres per 100 kilometres, which is on the thirsty side, although it is a 2.5-tonne SUV.

Officially, the XC90 T8 Plug In Hybrid sips just 1.8L/100km on the combined (urban/extra-urban) cycle, but as with any PHEVs, unless you charge your car religiously and never drive far enough to deplete the battery, that figure is extremely hard to achieve.

I charged the car regularly using my home wall charger (two to three hours for a full charge) and the fuel gauge barely moved.

After a week of mixed driving my final fuel economy figure was 3.4 litres per 100km, which isn’t too bad.

The XC90 T8 has a 3.6kW onboard charger and a Type 2 plug so it’s only capable of AC charging. It is not compatible with a DC source so no fast charging on the go.

The official electric driving range according to Volvo is 77km, which feels a little old school compared to the many PHEVs landing on the market now that have an EV driving range in excess of 100km.

The offical figure also seems somewhat optimistic because the most I got on a full charge was 60km. Anecdotally, I have heard it can get up to 70km after a charge, it just didn't get there in my time with the XC90.

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!

For a tall, large and heavy SUV, the XC90 has an excellent driving position. You feel hunkered down in the driver’s seat; it’s almost sporty!

Those healthy power and torque figures translate well on the road. It is properly quick off the mark and picks up pace rapidly when already at speed. You do need to work out the trigger point for the accelerator because if you give it too much it feels a little like a slingshot.

The transition between the electric motor and the petrol engine is noticeable, but it’s still smooth. It’s not harsh or clunky like some hybrids and PHEVs. Similarly, the eight-speed transmission is so smooth it rarely makes its presence felt. It's a lovely match for this powertrain.

On that, the cabin is incredibly well insulated. It’s a hushed ride at any speed. Again, you’ll hear the engine kick in but it has a nice note so that noise is welcome.

The powertrain has several driving modes including 'Pure' (EV only), 'Power' (for added performance) and 'Hybrid'. Hybrid is the go-to and 'Auto' allows the system to determine when the petrol engine kicks in. This is the best everyday mode.

Volvo understands the XC90 is more than just family transport and has engineered it in such a way that it offers a surprising level of dynamism.

It’s flatter in corners and bends than you expect of a car of this size and weight. It has a balanced chassis, likely helped by the air suspension, with minimal body roll and little lateral movement inside. Impressive.

It has enough grip on looser surfaces, aided by the all-wheel drive set-up.

The ride quality is more composed and refined at higher speeds, regardless of the road conditions, managing potholes and the like quite well. Volvo has tweaked the suspension tune as part of the update for this very reason.

At lower urban speeds, it’s not quite as calm. You’ll feel speed bumps and potholes and it's a little jiggly on rough surfaces. The low profile (275/35 R22) tyres are partly to blame here.

With that said, it’s not enough to dampen the overall XC90 drive experience. It is a lovely car to drive, whether cruising on freeways, country road blasts or city commuting.

Its underpinnings might be 10 years old, but the XC90 feels as fresh to drive as many of its rivals.

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.

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.

The XC90 is covered by Volvo’s five-year, unlimited kilometre warranty, and the servicing schedule is every 12 months or 15,000km, whichever comes first. These are similar terms to other premium brands in Australia.

Buyers can opt for one of two capped-price servicing packs, costing $2380 for three years and $3870 for five years.

This pricing is a little more than the BMW X5 but quite a bit more affordable than the Mercedes-Benz GLE.

The Swedish brand used to have a reputation for over-priced servicing but it’s sharpened up its offer considerably in recent years.

Volvo has around 40 dealerships located across Australia and conducts its servicing in-house at the dealer.

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.