Hyundai Launches Next-Gen Hybrid Powertrain
Hyundai's new hybrid system enhances performance, fuel efficiency, and driving experience with a dual-motor setup. It will debut in the 2025 PALISADE and expand to other models, including Genesis.
Date: April 22, 2025

Seoul, South Korea – Hyundai Motor Group., has introduced its next-generation hybrid powertrain system, setting a new standard for performance, refinement, and fuel efficiency across multiple vehicle segments. Debuted during its Next-Gen Hybrid System Tech Day, the advanced system represents a leap forward in the Group’s electrification strategy.
With this new hybrid system, Hyundai Motor Group aims to deliver a versatile lineup of vehicles—from compact to luxury class—offering customer-centric benefits, enhanced driving performance, and industry-leading efficiency.
At the heart of the next-generation hybrid system is a newly developed transmission featuring a dual-motor configuration:
P1 Motor: Manages engine start, energy regeneration, and battery charging.
P2 Motor: Handles propulsion and regenerative braking for improved performance.
This setup enables seamless gear shifting, reduces noise and vibration, and significantly enhances power delivery and fuel efficiency.
The system supports flexible pairing with various internal combustion engines, offering total outputs from low-100 PS to mid-300 PS, enabling application in a broad range of vehicles—from sub-compact cars to full-size SUVs.
The first implementation of the new system features a 2.5-liter turbo hybrid powertrain, based on an optimized version of the current 2.5 turbo engine. The new architecture redistributes starter and generator functions to the P1 motor, reducing power losses and maximizing thermal efficiency.
Hyundai’s upgraded hybrid system boosts efficiency and performance with an over-expansion cycle and triple fuel injection, achieving up to 14.1 km/l in the all-new PALISADE hybrid. It delivers 334 PS and 460 Nm torque—up 45% in fuel efficiency, 19% in power, and 9% in torque over the previous 2.5L turbo model. A new 1.6L turbo hybrid variant also enhances torque and acceleration by over 4%.
Hyundai’s new hybrid system brings EV-inspired intelligence with features like Active Shift Control for smoother shifts, Smart Regenerative Braking for adaptive energy recovery, and Hierarchical Predictive Control for efficient battery management based on driving conditions.
Hyundai’s next-gen hybrid tech enhances performance and comfort with e-AWD for better traction, e-VMC 2.0 for improved stability, Stay Mode for in-car convenience while stationary, and V2L to power external devices with up to 3.6 kW output.
Hyundai Motor Group is expanding its hybrid lineup from three to five models, starting with the 2025 PALISADE hybrid and a rear-wheel-drive 2.5L turbo hybrid in 2026. The advanced hybrid system will also be introduced in Genesis luxury models, with all future hybrids tailored to specific vehicle classes and market needs using the Group’s latest electrification technologies.
Mr. Dong Hee Han, Executive Vice President and Head of Electrified Propulsion Test Center, Hyundai Motor Group, said, “We have developed an innovative new hybrid system that integrates our long-accumulated engine, transmission and hybrid system development experience with the electrification technology applied to our world-class electric vehicles. We will continue to develop innovative technologies that actively utilize electrification capabilities during the transition to EVs, providing customers with eco-friendly vehicles that offer superior performance.”