Hyundai Motor Company’s all-new Palisade has made an impressive comeback drawing record-breaking pre-order numbers. This revamped version, introduced six years after the Palisade’s initial launch, amassed a staggering 33,567 pre-orders on the first day alone. Among Hyundai Motor Group’s new vehicles, this achievement marks the third-highest first-day pre-orders, trailing only behind the Ioniq and The New Carnival.
Dominance of the Hybrid Model
A key highlight of the new Palisade’s launch is the overwhelming response to its hybrid variant, introduced for the first time. Hybrid models accounted for an impressive 70% of total contracts, signaling a major shift in consumer preferences. Despite requiring a certification process and costing over 6 million won more than gasoline models, the hybrid variant’s popularity underscores the growing demand for fuel-efficient and eco-friendly vehicles.
The hybrid version boasts an estimated fuel efficiency of 14 km/L, significantly outperforming its gasoline counterpart at approximately 9 km/L. This superior efficiency aligns with the broader market trend where hybrid vehicles, such as the Kia Sorento, dominate sales charts, claiming the top five spots in the Korean automotive market this year.
Decline of Gasoline and Electric Vehicles
While hybrid SUVs like the Palisade are riding a wave of popularity, the demand for traditional internal combustion engine (ICE) vehicles, particularly gasoline and diesel models, continues to decline. Electric vehicle (EV) sales, too, are facing challenges due to fire risks, limited charging infrastructure, and reductions in government subsidies. These factors contribute to the rising prominence of hybrids, which offer a middle ground between ICE vehicles and EVs.
Palisade’s Record-Breaking Performance
The first-generation Palisade secured 20,000 pre-orders during its initial launch six years ago, making the latest model’s 1.5x increase a remarkable feat. Hyundai Motor Group plans to commence deliveries of the gasoline variant in mid-January, while hybrid buyers may have to wait a little longer due to ongoing certification processes.
What This Means for the Market
As the hybrid trend gains momentum, it reflects a broader shift in consumer priorities, favoring fuel efficiency and eco-conscious choices. Industry experts predict that hybrids will continue to lead the market in 2024, given their practical advantages over gasoline and electric vehicles.
