GMC Terrain vs Hyundai Palisade Hybrid

The 2022 GMC Terrain underwent a notable facelift, featuring updated front styling, wheel designs, taillights, and interior trim. The introduction of the AT4 trim level added a bolder grille design, black 17-inch alloy wheels with sport-terrain tires, and AT4 badges, enhancing its rugged appeal. Despite GMC's claim of the Terrain AT4 being a "small off-road SUV," its off-road capabilities were limited, as evidenced by the steel skid plate under the front end. The test vehicle, adorned with Ebony Twilight metallic paint and a black leather interior, was equipped with several packages, including the Tech Package and Infotainment Package II, pushing its MSRP to $41,810. While the Terrain offered various trim levels, the entry-level nature of the model was apparent in the quality of materials and execution of details, such as the less intuitive pushbutton transmission controls and the narrow storage tray on the center console.

In contrast, the 2026 Hyundai Palisade Hybrid was available in four trim levels: SEL, SEL Premium, Limited, and Calligraphy. Each trim exuded style and presence, with the base SEL trim featuring 18-inch alloy wheels and a massive grille with LED projector headlights. The Palisade's profile was enhanced by body-color, heated side mirrors, and acoustic side glass on higher trims. The rear design was equally impressive, with wide-spaced letters spelling the vehicle's name and LED taillights. Inside, the Palisade Hybrid boasted a luxurious cabin with H-Tex synthetic leatherette upholstery, power-adjustable seats, and three-stage heating elements. Higher trims offered additional features like Nappa leather upholstery and integrated driver's seat memory settings. The Palisade's interior design was characterized by organic shapes and thoughtfully engineered storage solutions, providing a richer feeling of craftsmanship compared to other non-luxury crossovers.

The 2022 GMC Terrain was powered by a turbocharged 1.5-liter four-cylinder engine, producing 170 horsepower and 203 pound-feet of torque. While the engine's power delivery required some adaptation, the nine-speed automatic transmission helped maintain the SUV within the torque band. The Terrain's turbocharging provided a lively feel at elevation, but the absence of the previously available turbocharged 2.0-liter engine was noticeable, especially in situations requiring rapid acceleration. The Terrain AT4 offered FWD and AWD modes, with an Off-Road mode and Hill Descent Control system. However, torque steer was an issue in FWD mode. The Terrain's suspension and 17-inch wheels provided a smooth ride on highways and city streets, but off-road performance was limited due to its ground clearance and tire grip. The Terrain AT4's fuel economy met expectations, with an EPA rating of 26 mpg.

The 2026 Hyundai Palisade Hybrid, on the other hand, featured a 2.5-liter turbocharged four-cylinder engine paired with two electric motors and a 1.65-kWh battery, delivering a combined 329 horsepower and 339 pound-feet of torque. This powertrain provided impressive performance, with the Palisade never lagging in various driving conditions. The advanced eight-speed automatic transmission and propulsion systems contributed to the Palisade Hybrid's optimized power delivery and fuel efficiency. The hybrid system's ability to adjust power distribution aided in handling, although the dynamic load leveling was not easily noticeable. The Palisade's cabin was remarkably quiet, thanks to noise-absorbing carpet and acoustic glass. The steering was sharp, offering a responsive feel, while the pedals felt slightly squishy. Overall, the Palisade Hybrid provided a delightful driving experience for a family SUV.

The 2022 GMC Terrain offered a roomy interior for a compact crossover, with power-adjustable front seats, heated front seats, and dual-zone automatic climate control. The AT4 trim featured perforated leather upholstery with caramel-color contrast stitching, adding an upscale touch. The back seat provided ample legroom and support, with a rear USB charging port for convenience. The Terrain's cargo space measured 29.6 cubic feet behind the back seat, expandable to 63.3 cubic feet with the rear seat folded. The front passenger seat could also be folded down for longer items.

In comparison, the 2026 Hyundai Palisade Hybrid offered 86.7 cubic feet of total cargo capacity, trailing some competitors but surpassing others. The second-row legroom was slightly compromised due to the battery's position, but the third row provided adequate space with a maximum legroom of 32.1 inches. The Palisade's cabin featured three-zone climate control, six USB-C power outlets, and comfortable seating for seven or eight, depending on the trim. The interior was equipped with numerous storage solutions, including a rubberized cargo space in the center console and a small shelf ahead of the front-passenger seat.

The 2022 GMC Terrain offered two infotainment systems, with the SLT, AT4, and Denali trims featuring an 8-inch touchscreen. Both systems supported wireless Apple CarPlay and Android Auto, SiriusXM satellite radio, and GMC Connected Services. The Infotainment Package II added connected navigation, improved voice recognition, and a Bose audio system. The voice recognition system was highly praised for its accuracy and responsiveness. The Terrain also featured a head-up display, park assist sensors, a surround-view camera system, and a Tire Fill Alert system.

The 2026 Hyundai Palisade Hybrid came equipped with a 12.3-inch touchscreen and a matching digital instrument cluster. The infotainment system supported wireless Android Auto and Apple CarPlay, along with a Passenger Talk intercom system. The Limited and Calligraphy trims added a 14-speaker Bose stereo and a built-in dashcam. A wireless charging pad was standard, although it lacked ventilation. The Palisade Hybrid introduced "Stay Mode," allowing the climate control and infotainment system to run while the gas engine was off.

The 2022 GMC Terrain came standard with the GMC Pro Safety Package, including forward-collision warning, pedestrian detection, automatic emergency braking, lane-departure warning, lane-keeping assist, automatic high-beam headlights, and a following distance indicator. The GMC Pro Safety Plus Package added adaptive cruise control, blind-spot monitoring, rear cross-traffic alert, lane-change assist, rear parking sensors, and a Safety Alert Seat. The Terrain received mostly "Good" crash-test scores from the IIHS, with a "Marginal" rating in a new side-impact test. The NHTSA had not evaluated the 2022 Terrain's crashworthiness.

The 2026 Hyundai Palisade Hybrid featured a comprehensive suite of ADAS, including blind-spot warning, rear cross-traffic assist, and automatic emergency braking with pedestrian and cyclist detection. The blind-view monitor was standard on the SEL Premium and higher trims. The rear doors had a safe-exit alert indicator. During testing, the Palisade's ADAS tech performed flawlessly. At the time of writing, neither the NHTSA nor the IIHS had crash-tested the 2026 Palisade Hybrid.