What makes a luxury car, a luxury car?
By that I mean, what elements of a vehicle make it luxurious or premium in your eyes? Is it the build quality? The level of features and creature comforts? Or is it just the badge?
That’s a lot of questions to ask, I know, but driving the new Hyundai Palisade has me thinking a lot about the definition of a luxury vehicle. That’s because the new flagship petrol-powered SUV of the brand’s range is a big departure from the old model in so many ways.
Namely, that this new model is only available in one trim level (at least for now), the fully-loaded Calligraphy. This means the Palisade is filled with the kind of features you’d expect in a luxury SUV, and some things even the traditional premium brands don’t have.
Before you even get into the Palisade you have Hyundai’s Digital Key 2.0, which debuted on the Ioniq 9 recently, but basically allows you to store a virtual key in your smartphone that allows both access and ignition without a physical key present. It can also be shared amongst your family (or friends and colleagues) and just as quickly revoked, so it’s clever, genuinely helpful technology.
The Palisade Calligraphy debuts a new fingerprint scanner that also allows you to start the car, but given the car has a ‘start’ button (which doesn’t require a fingerprint) it’s not entirely clear how useful that is.
What is useful is the wireless charging pad, UV cleaning tray and six 100W USB-C charging ports spread around the cabin, not to mention the many cupholders and storage spaces. The Calligraphy also comes with a 14-speaker Bose premium sound system, which is the kind of stereo you expect in a luxury car.
There’s room for up to eight passengers, or if you prefer even more comfort, you can opt for a seven-seat layout with two captain’s chairs in the second row. To further add to the premium feeling, the front seats are heated and ventilated, while the outboard seats in both the second and third rows are heated; which is a rare find even in six-figure European luxury vehicles.
The seats themselves are trimmed in Nappa leather, another luxury touch which is further accentuated by the choice of four different leather options – brown, black, charcoal and navy/grey.
So, from a luxury perspective, the cabin and its appointments certainly tick a lot of boxes. But does the Palisade live up to the level of driving performance and refinement that luxury buyers will expect?
Well, Hyundai has made some big changes under the bonnet, replacing the previous model’s turbo diesel and V6 petrol engines with an all-new hybrid powertrain. This consists of a new 2.5-litre turbocharged petrol engine supported by a hybrid system that integrates two electric motors into the system.
It’s a very complex system that is designed to extend range while also offering more performance. In simple terms, one motor is dedicated to producing power and the second drives the wheels.
However it works, it makes a healthy 245kW of power and 460Nm of torque, while sipping just 6.8L/100km, which is a good return for such a big SUV. That performance means, despite being a relatively small engine on paper, it feels strong on the road.
But it can also feel quite refined and well-mannered on the road, with the engine noise very muted in the cabin, especially when the hybrid system is helping out.
The other bonus from this new hybrid system is that, while still a relatively small battery, it has enough power to run small electrical devices, so Hyundai has added a household electrical outlet in the boot for your next camping trip or picnic with the family.
As for its on-road manners, Hyundai Australia has engaged in a detailed ride and handling development program for the new model. Working closely with engineers from Korea, the suspension and steering has been tuned specifically for Australia’s unique (aka pretty crappy) roads. This isn’t something many (if any) premium brands do, which means the Palisade rides with a better balance of control and compliance than many much more expensive SUVs.
But all of these premium levels of luxury, refinement and dynamic prowess come at a price – a high one, at least for a Hyundai. The Palisade Calligraphy starts at $89,900, which is a whopping $14,000 more than the previous generation Calligraphy.
Sure, the range-topping Toyota Kluger is only $5000 cheaper, but still asking for nearly $100k (after you add on-road costs) is a tough sell for any Hyundai, even one as nice as the Palisade Calligraphy.
Obviously the one thing Hyundai can’t change is the badge on the front, and that alone could rule it out for many brand-conscious buyers. But, judged on its merits – its performance, space and lengthy list of equipment – it’s hard to say the Palisade Calligraphy is anything other than a luxurious SUV.
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