Kia is taking a major step forward in the hybrid SUV market with the upcoming Telluride Hybrid, confirmed as the second model to receive Hyundai Motor Group’s all-new 2.5L hybrid system. Scheduled for U.S. launch in January 2026, the Telluride Hybrid is expected to set new standards for performance, efficiency, and comfort in the three-row SUV segment.
Unlike its corporate sibling, the Hyundai Palisade, which is produced in Korea, the Kia Telluride Hybrid will be built in West Point, Georgia, what could be an advantage in terms of pricing due to the lack of tariffs for U.S.-made vehicles.
2.5L Hybrid Powertrain: A Game-Changer in Performance and Efficiency
The Telluride Hybrid will feature the new 2.5-liter hybrid system, delivering remarkable improvements over the current turbocharged engine in the Global Palisade:
- 45% better fuel economy
- 19% increase in overall output
- 9% higher torque
With an estimated 329 horsepower and 339 lb-ft of torque, the Telluride Hybrid is expected to accelerate from 0 to 100 km/h in just 7.3 seconds, making it one of the quickest hybrid SUVs in its class. Its expected fuel economy of around 30 MPG on the highway and driving range of up to 619 miles (approx. 996 km) places it among the most fuel-efficient full-size SUVs on the market.
Advanced Hybrid Features and Technologies
The Kia Telluride Hybrid will also debut with a suite of next-generation hybrid technologies, many of which were developed specifically for this powertrain:
- E-AWD (Electric All-Wheel Drive): Adds a rear-wheel motor to enhance traction and performance.
- E-VMC 2.0: Offers improved vehicle stability via independent torque vectoring.
- E-Handling 2.0 & E-EHA 2.0: Boosts cornering and emergency steering response.
- E-Ride 2.0: Reduces pitch and bounce on uneven roads for a smoother ride.
- Stay Mode: Operates interior functions without the engine running.
- V2L (Vehicle-to-Load): Allows charging of external devices.
- Smart Regenerative Braking: Uses predictive path analysis to maximize energy recovery and fuel efficiency.

Bold New Design with EV9-Inspired Interior
Spy shots and design illustrations reveal that the Telluride Hybrid will retain its signature boxy silhouette but with a larger concave grille, C-shaped vertical headlights, and a more upright rear design to maximize cargo space. Expect a rugged yet refined aesthetic that appeals to both families and adventure-seekers.
Inside, the Telluride Hybrid takes inspiration from the Kia EV9, featuring:
- A two-tone interior with high-end materials
- A wider central console and redesigned door panels
- A massive 30-inch digital display running Kia’s latest CCNC infotainment system
- Dual wireless chargers, 14-speaker premium audio, and heated/ventilated second- and third-row seats
- Electric folding third-row, digital rearview mirror, and OTA software updates
Conclusion
With its innovative hybrid powertrain, high-end tech, and bold design upgrades, the upcoming Kia Telluride Hybrid is positioned to become a top contender in the full-size hybrid SUV segment. Its U.S.-focused production and January 2026 release make it a vehicle to watch for families and eco-conscious drivers alike.