2026 Hyundai Palisade vs 2026 Toyota Highlander: Why Palisade Is the Better Three-Row SUV in Ontario
2026 Hyundai Palisade vs 2026 Toyota Highlander: Why Palisade Is the Better Three-Row SUV in Ontario
Posted on July 7, 2026
Three-row SUV shopping in Ontario usually comes down to two familiar names: the Hyundai Palisade and the Toyota Highlander. Both promise room for eight, family-friendly features, and a comfortable ride for school runs and road trips.
The details separate them fast: cabin feel, standard equipment, and what each engine can tow. Here is how the 2026 Palisade and 2026 Highlander stack up for Ontario families cross-shopping their next three-row SUV.
2026 Palisade vs. Highlander: Side-by-Side
| Category | Palisade | Highlander |
| Hybrid horsepower / torque | 329 hp / 339 lb-ft | 243 hp |
| Hybrid towing | 4,000 lbs (1,814 kg) | 3,500 lbs (1,588 kg) |
| Standard displays | Dual 12.3-inch (cluster + infotainment) | 7-inch cluster / 8-inch touchscreen (XLE) |
| Standard airbags | 10 | 8 |
| Cargo, rows folded | 2,455 L | 2,387 L |
| Cargo, all rows in use | 540 L | 453 L |
| Gas engine horsepower | 287 hp | 265 hp |
| Gas engine torque | 260 lb-ft | 309 lb-ft |
| Gas towing | 5,000 lbs (2,268 kg) | 5,000 lbs (2,268 kg) |
| Seating capacity | Up to 8 | Up to 8 |
| Ground clearance | 187 mm | 203 mm |
Powertrains and Towing: Matching the Engine to the Job
The 2026 Palisade’s standard 3.5-litre V6 makes 287 horsepower and 260 lb-ft of torque, paired with an 8-speed automatic and standard HTRAC all-wheel drive. The Highlander’s 2.4-litre turbocharged four makes 265 horsepower but counters with 309 lb-ft of torque, also through an 8-speed automatic with standard all-wheel drive.
The extra torque helps the Highlander off the line, but Palisade’s naturally aspirated V6 delivers its power without turbo lag, and both gas engines tow up to 5,000 lbs (2,268 kg).
Where Palisade pulls ahead is the hybrid path. Its 2.5-litre turbo hybrid produces 329 horsepower and 339 lb-ft, well past the Highlander Hybrid’s 243 horsepower, and tows up to 4,000 lbs (1,814 kg) versus the Highlander Hybrid’s 3,500 lbs (1,588 kg). The Highlander Hybrid does return better fuel economy at 6.7 L/100km combined against Palisade Hybrid’s 7.0 L/100km, but for families who tow a trailer, boat, or a trio of bikes, Palisade’s added power and towing headroom matter more than a small gap at the pump.
Cabin Feel and Front-Seat Comfort
Step inside, and Palisade’s horizontal dashboard, soft-touch materials, and dual 12.3-inch displays for infotainment and instrumentation come standard on every trim. The Highlander’s base XLE trim starts with a smaller 8-inch touchscreen and 7-inch gauge cluster, only stepping up to matching 12.3-inch screens once you reach the XSE or Limited grade.
Palisade’s centre console draws on home-furnishing design cues, with a standard 15-watt wireless charging pad and a heated leather-wrapped steering wheel on every trim. Higher grades add Nappa leather, ventilated front seats, and available front-row relaxation seating with a leg rest.
Highlander’s cabin is described as soft and padded with a tailored look, and its Limited grade adds leather-trimmed upholstery plus heated and ventilated front seats. That upgrade, though, does not arrive until partway up the Highlander lineup.
Seating, Third-Row Access and Cargo Space
Both SUVs seat up to eight, with second-row bench or captain’s chair layouts available on each. Palisade goes further on comfort: heated second-row seats are standard on every trim, while Highlander reserves heated second-row seats for the range-topping Platinum grade.
Palisade also offers available power-folding, sliding, and reclining third-row seats with heating on its Luxury and Ultimate Calligraphy trims, useful for parents buckling in car seats or older kids climbing back for a road trip.
Cargo space favours Palisade too, with 540 litres behind the third row and 2,455 litres with the second and third rows folded, against the Highlander’s 453 litres and 2,387 litres in the same configurations. That gap adds up over a season of hockey bags, strollers, and grocery runs.
Technology and Safety Families Actually Use
Every Palisade comes with 10 standard airbags, including full-length side-curtain coverage that protects third-row passengers, plus seatbelt pretensioners and load limiters in all three rows. The Highlander carries 8 airbags across its lineup.
Audio tells a similar story. Palisade’s standard 8-speaker system beats the Highlander XLE’s 6 speakers, and Palisade’s available 14-speaker BOSE system out-numbers the Highlander’s 11-speaker JBL setup at the top of its lineup.
Standard on every 2026 Palisade trim: - 12.3-inch infotainment display with navigation - 12.3-inch digital gauge cluster - Wireless Apple CarPlay and Android Auto - Smart Cruise Control with stop-and-go
Both SUVs offer lane-keeping support, blind-spot warning, and rear cross-traffic alerts, with more advanced highway driving assist and surround-view cameras available on upper Palisade trims for tight school-zone parking and highway merges.
Why the Palisade Fits Ontario Families Best
For families cross-shopping these two three-row SUVs, the numbers add up in Palisade’s favour more often than not. It offers more standard airbags, a roomier cargo hold with the rows folded, standard dual 12.3-inch displays from its base trim, and a hybrid that tows 500 lbs (227 kg) more than the Highlander Hybrid while making 86 more horsepower.
Add heated second-row seats standard on every grade, an available 14-speaker BOSE system, and third-row comfort features the Highlander does not offer until much higher in its lineup, and Palisade builds a stronger case for growing families who want more included from the start. For Ontario drivers weighing space, safety, and standard equipment side by side, the 2026 Palisade is the SUV that delivers more without asking you to climb the trim ladder to get it.
Experience the 2026 Palisade at 401 Dixie Hyundai
The 2026 Hyundai Palisade pairs an upscale three-row cabin with a broader standard features list, from heated second-row seating to dual 12.3-inch displays, backed by a choice of V6 or hybrid power depending on how your family drives and tows.
Visit 401 Dixie Hyundai in Mississauga to see the 2026 Palisade’s cabin, seating, and hybrid powertrain in person, and find the trim that matches your family’s routine.