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Kia Telluride Hybrid to be introduced in the U.S. in 2026

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Kia has substantially expanded its partially electrified vehicle portfolio since the launch of the Niro in 2016. Almost every global Kia SUV is available with a mild-hybrid, full-hybrid, and/or plug-in hybrid system. The Kia Telluride Hybrid will be the next to join these semi-electric models by 2026.

Kia Telluride Hybrid to get a 2.5L powertrain

On January 28, 2024, ET News published a report claiming that Hyundai is developing an all-new hybrid powertrain based on a 2.5-liter turbocharged gas engine. The electrically assisted engine will be mated to a 6-speed automatic transmission.

The first-ever Palisade Hybrid will debut the new hybrid system when it hits production in December 2024. As per the report on ETNews filed on June 2, 2024, the 2.5-liter ‘Theta III’ engine will be paired to an electric motor and battery that is bigger than what is currently seen in the Carnival Hybrid or the Sportage Hybrid. The South Korean publication reported that the new hybrid system is developed for mid- and large-sized models, and will also replace the diesel variant which is sold in a few global markets.

Kia Telluride engine bay
The new 2.5L Hybrid system should take the fuel economy of the Telluride to 25-30 MPG, with performance comparable to the V6 engine. Pictured is the current-gen SUV.

Currently, the Kia Telluride is available with the Lambda II 3.8-liter naturally aspirated direct-injection V6 engine that develops 291 horsepower at 6,000 rpm and 262 lb.-ft. of torque. An 8-speed automatic transmission is standard and an all-wheel drive system is available optionally. The gas-powered model is easy to drive and offers decent performance, although handling is an area of improvement for the team developing the next-gen Telluride.

The Telluride clearly needs to improve its fuel economy game, and hybrid technology could help it overcome this limitation. It currently delivers a combined (EPA-est.) 23 MPG (FWD)/21 MPG (AWD), and these numbers are expected to fall in the 25-30 MPG range through electrification. Another common complaint in the three-row mid-size SUV is that it’s a bit noisy. Hybrid technology will greatly help in this area as well, as the powertrain can operate on EV mode when starting up and at low speeds.

Interior upgraded with ccNC

Going by the changes reported for the next-gen Palisade, the new Telluride should have a completely different interior, one that is inspired by the EV9. While we await spy photos for hints, we expect the Hyundai Motor Group’s ccNC (Connected Car Navigation Cockpit) system in the SUV, with at least around 30 inches of digital real estate.

2024 Kia EV9 interior dashboard 2023 LA Auto Show2024 Kia EV9 interior dashboard 2023 LA Auto Show
We’re expecting some similarities with the EV9 (pictured), but designers should differentiate the Telluride with a unique interior design.

Designers could differentiate the Telluride with the screen embedded in the dash instead of a free-standing design. Additionally, it will be interesting to see if a floating center console is included in high-end variants, moving between the first and second rows. We’re expecting the Telluride to arrive in 7- and 8-seater versions.

Kia should offer a high level of kit on the next-gen Telluride. Dual wireless smartphone charging system, wireless Apple CarPlay and Android Auto, Digital Key 2, head-up display, surround view camera, and a premium sound system are expected in the new Telluride. Kia’s Highway Driving Pilot system with conditional Level 3 autonomous driving should also be available in select markets.

Production & Release Date

ETNews reported on March 4, 2024, that the next-gen Kia Telluride (codename: Kia LQ2) will enter mass production in December 2025. It added that sales is expected to begin in early 2026. The Telluride is manufactured at Kia’s West Point assembly plant in Georgia.

2024 Kia EV9 GT-Line AWD2024 Kia EV9 GT-Line AWD
Given that many American consumers are reluctant to go down the path of all-electric, it makes sense to have a three-row hybrid SUV in the line-up.

Blockbuster sales

Kia scored a home run with the Telluride in the U.S. In 2019, the year it launched the SUV, it sold 58,604 units. The Telluride was the sixth-highest-selling Kia in the country that year.

In 2020, the first full year of sales for the model, the Telluride was the third best-selling Kia, with 75,129 units delivered. In 2021, with 93,705 units sold, the Telluride retained its third rank internally. Fast-forward to 2023, the Telluride enjoyed its best-ever year in the U.S., with sales of 110,765 units, which should ideally increase with the availability of the hybrid version.

TopElectricSUV says

The Telluride presents a formidable option for families in search of a unique mid-size three-row SUV, deviating from the conventional American and Japanese vehicles that have dominated the market for years. Its interior impresses with its superior quality, comfort, technology, and generous space. However, the disappointing fuel economy subtracts from its appeal as a daily driver, leading to higher operating costs. Electrification through a hybrid or plug-in hybrid system can address this concern, and Kia appears to have a plan to pursue at least one of those options for the Telluride in the future.

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