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Both were redesigned from the ground up. The Atlas bets on space and standard comfort; the Palisade bets on a V6, a new hybrid and a long warranty. Here's how they line up.
Part of our Volkswagen Atlas research hub: trims, prices, specs, inventory and FAQs in one place.
The Palisade is one of the most-shopped three-row SUVs in Sacramento, and the 2026 redesign made it bigger, plusher and available as a hybrid. The 2027 Atlas is all-new too. Below are the published numbers side by side, then the areas where the Hyundai is honestly the better choice.
| 2027 VW Atlas | 2026 Hyundai Palisade | |
|---|---|---|
| Engine | 2.0L turbo-4, 282 hp / 258 lb-ft | 3.5L V6, 287 hp / 260 lb-ft |
| Hybrid option | Not offered | Yes — 329 hp / 339 lb-ft |
| EPA combined MPG (gas, AWD) | 23 | 20 |
| Seating | 7 (6 with captain's chairs) | 7 or 8 |
| Max cargo (cu ft) | 95.4 | 86.7 |
| Cargo behind 2nd row | 55.9 | 46.3 |
| Cargo behind 3rd row | 21.2 | 19.1 |
| 3rd-row legroom | 34.1" | 32.1" |
| Largest touchscreen | 15" | 12.3" |
| Ventilated front seats | Standard | Available |
| Max towing (lb) | 5,000 | 5,000 |
| Powertrain warranty | 4 yr / 50,000 mi | 10 yr / 100,000 mi |
Green = better on that line. Figures from manufacturers' published data at time of writing; see notes below.
This is a clean win for the Atlas. It beats the Palisade on every cargo measurement — 95.4 vs. 86.7 cubic feet with the seats folded, 55.9 vs. 46.3 behind the second row, and 21.2 vs. 19.1 behind the third. Third-row legroom favors the Atlas too, at 34.1 inches against 32.1.
Where the Palisade answers is headcount: it can seat eight with a second-row bench. The Atlas tops out at seven, or six with captain's chairs.
The gas Palisade keeps a 3.5-liter V6 rated at 287 hp and 260 lb-ft, essentially level with the Atlas's 282-hp turbo four (258 lb-ft). The difference is at the pump: the Atlas is EPA-rated 23 mpg combined with all-wheel drive versus about 20 for the V6 Palisade with AWD, and front-drive Atlas models reach 29 mpg highway.
The Palisade's new 2.5-liter turbo hybrid changes the math for high-mileage commuters. It makes 329 hp and is rated from about 29 to 34 mpg combined depending on trim. Volkswagen doesn't offer a hybrid Atlas. Both tow up to 5,000 pounds.
The Atlas offers a 15-inch touchscreen against the Palisade's dual 12.3-inch displays, and it makes ventilated front seats standard on every trim. The Palisade is very well equipped at the top end, so compare the exact trims you're shopping.
The gas Palisade starts a little below the Atlas SE ($43,135 MSRP). See our Atlas trim guide for what each Atlas level includes.
The Atlas doesn't win every line, and the Palisade is a strong SUV. Here's where it genuinely leads.
The Palisade's 329-hp hybrid delivers far better fuel economy than any gas three-row. The Atlas is gas-only.
Hyundai covers the powertrain for 10 years/100,000 miles and the vehicle for 5 years/60,000 miles, versus Volkswagen's 4 years/50,000.
The Palisade can seat eight, and the XRT Pro adds standard AWD, all-terrain tires and 8.4 inches of ground clearance for buyers who head off pavement.
Choose the 2027 Atlas for the most cargo and third-row space, the bigger screen, standard ventilated seats and better gas fuel economy. Choose the Palisade if you want a hybrid, eight seats, the off-road-leaning XRT Pro, or the longest warranty.
Every new Atlas bought from Elk Grove Volkswagen includes our Knight4Life lifetime engine warranty, which covers vital engine components for as long as you own the vehicle (terms apply). It sits on top of Volkswagen's 4-year/50,000-mile new-vehicle limited warranty and 2-year/20,000-mile Carefree scheduled maintenance.
Yes. The Atlas offers up to 95.4 cu ft of cargo space versus 86.7 for the 2026 Palisade, more room behind the second and third rows, and 34.1 inches of third-row legroom versus 32.1.
The 2026 Palisade offers a 329-hp turbo hybrid alongside its V6. The 2027 Atlas is gas-only, with a 282-hp turbocharged four-cylinder.
The Atlas. It is EPA-rated 23 mpg combined with all-wheel drive versus about 20 for the Palisade V6 with AWD. The Palisade hybrid is more efficient than either.
The Palisade, with Hyundai's 10-year/100,000-mile powertrain warranty. Volkswagen covers the Atlas for 4 years/50,000 miles plus 2 years/20,000 miles of scheduled maintenance, and Elk Grove Volkswagen adds the Knight4Life lifetime engine warranty on new Atlas purchases (terms apply).
No. The Atlas seats seven, or six with second-row captain's chairs. The Palisade seats up to eight with a second-row bench.
At Elk Grove Volkswagen, 9776 W Stockton Blvd in Elk Grove. The all-new 2027 Atlas is in stock; call 916-460-8489 to book a test drive.
The best way to choose between the Atlas and the Palisade is to drive them. Book a test drive at Elk Grove Volkswagen and bring your family, your car seats and your gear.
Elk Grove Volkswagen · 9776 W Stockton Blvd, Elk Grove, CA 95757 · Sales 916-460-8489 · Serving Sacramento, Stockton, Folsom & the Central Valley
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Comparison based on manufacturers' published specifications and competitive data available at the time of writing; features, specifications, and availability are subject to change and may vary by trim and configuration. Figures are based on preliminary manufacturer information and are subject to change. Competitor model years referenced reflect current publicly available data. Warranty terms are summaries only; see each manufacturer for complete coverage details. EPA-estimated mileage is for comparison only and will vary. Confirm all details with Elk Grove Volkswagen and the respective manufacturers. Atlas pricing shown is manufacturer's suggested retail price (MSRP) for the base trim and excludes destination, taxes, title, license, registration, dealer documentation fees and optional equipment; competitor pricing is described only in general terms. Knight4Life benefits are provided by Elk Grove Volkswagen, not Volkswagen of America; see dealer for terms and exclusions.
