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The 2023 Hyundai Palisade and Kia Telluride are class-leading midsize SUVs. Produced by the same parent company and sharing numerous components, both vehicles offer a mix of utility, comfort, and technology.

But despite the two SUVs’ similarities, the Palisade has many more owner complaints than the more popular Telluride. Why? Let’s delve into the details. 

The Hyundai Palisade and Kia Telluride are almost the same SUV

The Hyundai Palisade (from $37,235) and Kia Telluride (from $37,255) are nearly identical. A big part of that is Hyundai Motor Company owning both automakers, giving them access to the same components and technology. Besides that, sharing parts across models saves money, increasing manufacturers’ profits. 

The Palisade and Telluride share a platform, engine, and transmission. They also display similar dimensions inside and out, along with third-row seating and room for eight. 

Under the hood, each SUV uses a 3.8-liter V6 with 291 hp and 262 lb-ft of torque. That gets routed through an 8-speed auto. FWD comes standard, with AWD optional. 

Exterior-wise, both SUVs share a similar footprint but exhibit slightly different personalities. The Kia displays an adventure-ready look, with squared-off bodywork and a strong stance. The Hyundai has a more upscale feel, with its large mesh grille, LED headlights, and chrome trim. 

Inside, it’s more of the same, with faux leather and genuine leather upholstery options, and plenty of room in the third-row seats. Their quiet, appealing interiors are reminiscent of luxury car equipment and include 12.3-inch touchscreen infotainment with Apple CarPlay and Android Auto. 

Because of their similar mechanicals, the Palisade and Telluride are about even in acceleration, ride, and fuel economy. But there’s one area with there’s a significant difference: consumer complaints. 

According to GoodCarBadCar, in 2023, Kia’s sold 92,514 Tellurides, while Hyundai’s sold 65,928 Palisades. That’s a big difference. Yet the Hyundai has experienced a larger number of complaints than its stablemate. Here’s the data.

On the National Highway Transportation Safety Administration (NHTSA) website, consumers can make complaints about their vehicles. Whether engine troubles or electrical issues, drivers can describe specific problems.

And surprisingly, the 2023 Hyundai Palisade has 116 complaints to the 2023 Kia Telluride’s 57. That’s especially significant with almost 27,000 fewer Palisades sold YTD. 

What could be the reason for the disparity? We can’t be sure. But we can relay what owners are saying. 

What are people complaining about?

The 2023 Hyundai Palisade’s common complaints consist of visibility/wiper (36), powertrain (15), and electrical system (13). These issues detract from an otherwise balanced package of comfort and utility. Here’s what owners have to say.

A repeated problem on the 2023 Palisade is hazy, foggy rear passenger windows. Even with cleaning, owners report no notable improvement. While there’s a technical service bulletin (TSB) related to the issue, one owner reports it hasn’t been solved. 

As for the powertrain, there’s a current NHTSA campaign related to the Palisade transmission’s electric oil pump assembly. The campaign states that the  “electronic controller for the Idle Stop & Go oil assembly may contain damaged electrical components that can cause the pump controller to overheat.”

Hyundai issued a recall to repair the faulty component. The NHTSA website notes numerous owners who’ve taken part in the safety recall. But for many, the required parts weren’t yet available.

Additionally, Palisade owners reported multiple electrical issues. Examples consist of engine/dashboard shut off while driving, repeated passenger door alerts, and battery drain while parked. 

The 2023 Hyundai Palisade and Kia Telluride are strong sellers, and for good reason. With their solid features and reasonable pricing, these SUVs give buyers more for their money. And since they share platforms and hardware, both vehicles offer similar performance on the road.

While the Kia outpaces the Hyundai sales-wise, both are still popular picks among midsize sport utility vehicles. But the Hyundai receives more than double the consumer complaints, due to issues with its powertrain, electrical system, visibility, and more. We don’t know why that’s the case. But with time, Hyundai should be able to figure out the reasons.


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