The Hyundai Palisade Is Closing in on Grand Highlander, Outselling the Santa Fe.
Hyundai has spent years proving it can build vehicles that compete with the industry’s biggest names. Now the numbers suggest shoppers aren’t just noticing. They’re actively choosing Hyundai’s most premium family SUV.
The latest sales results show another strong month for Hyundai, with gains across much of the lineup. One statistic stood out more than the rest: the Palisade has officially moved ahead of the Santa Fe in total sales for the month of June, and is about to overtake the more affordable Santa Fe in the year-to-date sales as well. For a brand that has steadily pushed further into the premium family vehicle market, that’s an important milestone.
For families shopping for a three-row SUV, it also reinforces something we’ve experienced firsthand. Bigger, quieter, more comfortable vehicles continue to attract buyers who are willing to spend more for additional space and refinement.
Hyundai’s Winning Streak Continues
Hyundai reported another month of year-over-year sales growth, continuing a trend that has helped establish the company as one of the industry’s strongest performers. Popular models, including the Tucson, Elantra, Sonata, IONIQ 5, IONIQ 9, and Palisade, all posted gains, while electrified vehicles continued growing at an impressive pace.
Rather than relying on one standout product, Hyundai has built a lineup with strength across nearly every segment. That’s especially important for families, who often move through several vehicle types as their needs change over time.
| Vehicle | Jun-26 | Jun-25 | % Chg | Q2 2026 | Q2 2025 | % Chg | 2026 YTD | 2025 YTD | % Chg |
|---|---|---|---|---|---|---|---|---|---|
| Elantra | 15,179 | 12,412 | 22% | 46,776 | 41,278 | 13% | 79,839 | 74,768 | 7% |
| Ioniq 5 | 2,335 | 3,172 | -26% | 10,940 | 10,481 | 4% | 20,730 | 19,092 | 9% |
| Ioniq 6 | 38 | 701 | -95% | 412 | 3,004 | -86% | 1,241 | 6,322 | -80% |
| Ioniq 9 | 857 | 711 | 21% | 2,868 | 1,013 | 183% | 4,858 | 1,013 | 380% |
| Kona | 6,036 | 7,117 | -15% | 18,778 | 22,810 | -18% | 36,169 | 39,828 | -9% |
| Palisade | 11,336 | 9,253 | 23% | 35,749 | 30,962 | 15% | 63,453 | 57,197 | 11% |
| Santa Cruz | 1,767 | 2,048 | -14% | 5,437 | 7,573 | -28% | 9,981 | 14,221 | -30% |
| Santa Fe | 10,382 | 10,230 | 1% | 30,660 | 33,677 | -9% | 64,003 | 65,078 | -2% |
| Sonata | 6,949 | 5,095 | 36% | 22,510 | 17,189 | 31% | 37,057 | 32,986 | 12% |
| Tucson | 19,581 | 16,378 | 20% | 62,186 | 58,337 | 7% | 117,612 | 113,310 | 4% |
| Venue | 3,095 | 2,584 | 20% | 8,864 | 9,400 | -6% | 15,625 | 15,463 | 1% |
| Total Brand | 77,555 | 69,701 | 11% | 245,180 | 235,724 | 4% | 450,568 | 439,278 | 3% |
The Palisade Has Become Hyundai’s Flagship Family SUV
The Palisade isn’t simply another three-row crossover. It has become Hyundai’s flagship SUV and the vehicle that showcases just how far the brand has come.
Compared with the Santa Fe, the Palisade offers:
- More passenger room across all three rows.
- Greater cargo capacity for road trips and family vacations.
- A quieter, more upscale cabin.
- Premium materials and technology typically associated with luxury brands.
- Available seating for up to eight passengers.
Those advantages have made it a favorite among growing families looking for near-luxury accommodations without stepping into a luxury showroom.
Why Passing the Santa Fe Matters
The Santa Fe has long been one of Hyundai’s cornerstone SUVs. Seeing the larger and more expensive Palisade move ahead in sales suggests buyers are increasingly comfortable spending more for additional comfort, space and refinement.
That’s exactly the direction Hyundai has been heading.
Recent redesigns have elevated the Palisade with bolder styling, more premium interiors and additional technology while maintaining pricing that remains competitive against rivals from Toyota, Honda, Kia and Ford.
For Hyundai, this isn’t simply about selling a larger SUV. It’s evidence that customers increasingly view the brand as one capable of delivering premium family vehicles.
Palisade Closes in on Toyota Grand Highlander
Toyota also released sales figures, and the biggest shocker when comparing the two brands is just how close the Palisade is to the Grand Highlander.
11,336 Hyundai Palisades sold make up 93% of Toyota Grand Highlander sales for the month. This signals a big shift in the buying habits of US consumers.
For reference, last year Hyundai sold 11,577 Palisades in the final year of the generation, 80% of Grand Highlander sales. Toyota better watch out.
What It Means for Families
At GT: Garage Talk®, we’re always looking at vehicles through the lens of real family life.
More room for child seats. Easier third-row access. Space for sports gear, groceries and luggage. Comfortable road trips. These are the features families use every day.
The Palisade checks many of those boxes while still delivering the value Hyundai has become known for.
That doesn’t diminish the Santa Fe’s role. The Santa Fe remains an excellent option for buyers who want a slightly smaller footprint with three rows. But families wanting maximum passenger comfort are clearly gravitating toward the Palisade.
Other moves in the premium direction are heralded by the upcoming 2027 Elantra sedan.
Other Notes
- Best June total sales in company history; up 11% year-over-year
- Record Q2 total sales; up 4% year-over-year
- Best ever first half total sales; up 3% year-over-year
- Hybrid sales up 74% in June, 71% in Q2 and 67% percent on the year
- Strong Q2 hybrid demand led by high-volume models including Tucson HEV, Santa Fe HEV, Elantra HEV and Sonata HEV
- Electrified vehicles represent 33% of sales in the first half; IONIQ 5 up 9% on the year
- Discontinued products IONIQ 6 and Santa Cruz see diminishing sales
- IONIQ 6 will continue US sales under the performance N model only.
Our Take
Watching Hyundai’s premium strategy unfold has been fascinating.
Not long ago, Hyundai was primarily known as the value brand. Today, buyers are increasingly choosing its flagship SUV over one of its longtime volume sellers.
That’s a remarkable transformation.
If current trends continue, don’t be surprised to see Hyundai invest even more heavily in premium family vehicles. Judging by the sales numbers, customers are responding exactly the way the company hoped they would.
Hyundai Palisade Quick Specs
- Segment: Three-row midsize SUV
- Seating: Seven or eight passengers
- Available Powertrains:
- 3.5-liter V6
- Available turbocharged hybrid
- Available AWD
- Towing Capacity:
- Up to 5,000 pounds (V6)
- Up to 4,000 pounds (Hybrid)
- Premium trims include Calligraphy and the adventure-focused XRT Pro
- Designed as Hyundai’s flagship family SUV with a greater emphasis on luxury, comfort and long-distance travel.