2020 Hyundai Palisade

On August 7, 2024, the Office of Defects Investigation (ODI) opened PE24021 to investigate complaints alleging inadvertent unlatching of seat belts in model year (MY) 2020-2023 Hyundai Palisade vehicles manufactured by Hyundai Motor America. The complaints alleged that, without warning, the seat belts sometimes inadvertently unlatch, increasing the risk of injury due to full loss of seat belt protection in the event of a crash. As a result of information exchanged as part of the investigation, on April 3, 2025, Hyundai initiated a warranty extension policy for seat belt buckles on model year 2020-2025 Palisade vehicles in the U.S. and Canada.  Hyundai subsequently initiated a request for warranty parts returns to support further analysis by the buckle supplier, ZF Lifetec. The warranty extension (reference “Z06”) noted that certain 2020 – 2025 model year Palisade vehicles may experience abnormal seat belt buckle(s) operation.   Hyundai extended the warranty coverage for the seat belt buckle under this condition to 15 years/150,000 miles (whichever occurs first) from the date of original retail delivery or date of first use.  This action is valid for original and subsequent owners. On September 11, 2025, Hyundai filed recall 25V-607 for certain 2020-2025 Hyundai Palisade vehicles.  Hyundai explained in its recall filing that the subject vehicles are equipped with seat belt buckle assemblies in the front row and second row outer seating positions that may contain out-of-specification components manufactured by the supplier.  These components can cause interference within the latch channel, potentially increasing friction, particularly under cold ambient temperatures. Improperly produced seat belt buckles, combined with slow insertion of the seat belt tongue plate, may prevent the seat belt buckle from fully latching. The recall remedy is currently under development. In view of Hyundai’s recall action, ODI is closing this Preliminary Evaluation, but will continue to monitor the issue as a remedy is developed and implemented. ODI will take additional action if warranted by future circumstances. To review the reports cited in the Closing Resume ODI Report Identification Number document, go to NHTSA.gov.

My 2020 Hyundai Palisade (3.8L V6) has a persistent engine defect causing sudden stalling and severe oil consumption. Since mid-2019 the engine has stalled without warning when coming to a stop, idled roughly, and made loud puttering noises under light acceleration — a loss-of-power hazard in traffic. In 2026 the dealer began formal oil consumption testing. Although 1,000-mile checks were marked 'passed,' the engine was found completely dry (dipstick showed no oil) at 2,000 miles — 3.5 quarts low on a 6.1-quart system. On 09/02/2026 the vehicle FAILED an official oil consumption test at Hyundai of Kirkland and was held for service. The dealer performed a carbon-cleaning procedure, but the underlying oil consumption is unresolved and a re-test is now underway. Running an engine at less than half its oil capacity risks sudden seizure or stall at speed. I am concerned this is a systemic defect affecting other 2020 Palisades and request NHTSA investigate.

NHTSA ID

11766809

Incident

Sep 2, 2026

Defect & Safety Hazard: Severe internal manufacturing defect causing catastrophic engine oil consumption and sudden, un-warned engine stalling. The vehicle completely shuts down at highway speeds, on inclines, and at stops. This sudden loss of motive power deactivates power steering and braking assists, creating an immediate multi-vehicle collision risk. No low-oil or dashboard indicators illuminate prior to stalling, stripping the driver of any ability to take proactive safety measures. Indisputable Failure Data: Between 99,xxx miles (under warranty) and 103,xxx miles, the engine consumed 5.5 quarts of oil over a 3,000-mile interval. This equals an extreme burn rate of 1.83 quarts per 1,000 miles. Hyundai’s maximum corporate failure limit (1.0 qt/1,000 miles). Secondary diagnostics indicate this massive volume of un-combusted oil is actively pushing into the exhaust system, creating restrictive backpressure that induces stalling. Timeline & Dealer Obstruction:Rusty Wallace Hyundai: Inspected vehicle under 100,000 miles and initiated the first 1,000-mile consumption test, but subsequently refused documentation and further warranty services. A corporate national claim and customer service complaint were filed against them.Grayson Hyundai: Completed a second 1,000-mile test documenting a definitive failure. They confirmed this is a common, known systemic issue and recommended full engine replacement.Federal Violations: Under the Magnuson-Moss Warranty Act, because the defect was reported to a dealer before warranty expiration, Hyundai is legally required to cover the defect. Forcing a vehicle that burns 5.5 quarts of oil onto public roads also violates strict EPA Clean Air Act emissions compliance standards. Hyundai's current demand for out-of-pocket payment must be rescinded for full corporate coverage.

NHTSA ID

11766548

Incident

Sep 19, 2026

I am reporting severe and recurring oil consumption in my 2020 Hyundai Palisade that could cause engine damage, engine seizure, stalling, or a sudden loss of power while driving. On April 14, 2026, at approximately 89,950 miles, an authorized Hyundai dealership documented that the engine had consumed approximately 1.3 quarts of oil in only 1,275 miles, equivalent to approximately one quart every 982 miles. The vehicle failed Hyundai’s initial oil-consumption test. Hyundai then authorized a combustion-chamber cleaning. On May 12, 2026, at 91,087 miles, the dealership completed the follow-up test and stated that the vehicle passed at that time. On September 14, 2026, at 95,512 miles, I returned to the dealership because the engine again had no measurable oil remaining. Only 4,425 miles had elapsed since the May oil change. The dealership’s repair order states that the vehicle “has no oil again.” I also reported that the vehicle had begun stuttering and rattling when pressing the brake and coming to a stop, creating concern that the engine may already have sustained damage from insufficient lubrication. The dealership initiated another oil-consumption test and instructed me to return after 1,000 miles. However, the earlier combustion-chamber cleaning did not correct the underlying problem. I am concerned that the vehicle may again consume its oil without adequate warning and could stall, seize, or lose power while being driven, placing the occupants and other motorists at risk. Hyundai should investigate the cause of the recurring oil loss and determine whether 2020 Hyundai Palisade vehicles have defective piston rings, cylinders, valve components, PCV systems, or other engine components causing excessive oil consumption. I am requesting that NHTSA document and investigate this potentially dangerous engine defect.

NHTSA ID

11765325

Incident

Sep 14, 2026

My 2020 Hyundai Palisade is affected by NHTSA Safety Recall 25V607 / Hyundai Recall 283 involving the first- and second-row seat belt buckle assemblies. The recall was initiated in 2025, and my vehicle remains unrepaired approximately one year later. This defect has actually occurred in my vehicle. Seat belts have released/unlatched while the vehicle was being driven, creating a serious risk that an occupant could become unrestrained while the vehicle is moving or in the event of a collision. The Hyundai dealership documented Recall 283 as outstanding on my vehicle in March 2026. I returned to the dealership in September 2026, and the recall remained unrepaired because the required parts were unavailable. Hyundai Motor America has since confirmed in writing that the required parts are back-ordered. Hyundai states that a set has been assigned to my vehicle, but there is currently no estimated time of arrival. Approximately one year after this safety recall was initiated, my affected vehicle remains unrepaired despite the seat belt defect having actually occurred while driving. I am concerned about safely transporting my family while waiting indefinitely for the required repair.

NHTSA ID

11764865

Incident

Mar 1, 2026

I am filing this safety complaint regarding excessive oil consumption in my 2020 Hyundai Palisade, which presents a direct vehicle stalling and engine failure hazard while driving at highway speeds. My vehicle is currently consuming approximately 5 quarts of engine oil every 3,000 miles. This severe oil loss occurs rapidly between scheduled maintenance intervals without any illuminated dashboard warning lights, low oil pressure indicators, or visible oil leaks on the ground. The oil is burning internally within the combustion chamber. This creates an extreme safety risk. If the oil level drops dangerously low before the next service, the engine is at risk of sudden catastrophic failure, severe overheating, or immediate stalling while in motion. A sudden loss of propulsion while driving in heavy traffic or at highway speeds places myself, my passengers, and other drivers at risk of a serious collision. Furthermore, the lack of an early warning sensor or dashboard indicator for low oil volume means the driver is left entirely unaware of the hazard until the engine begins to fail. Hyundai is well aware of this widespread oil-burning defect in their V6 engines, yet because my vehicle has reached 160,000 miles, they refuse to provide any diagnostic support, remedy, or warranty assistance. I am requesting that the NHTSA open a formal investigation into the 2020 Hyundai Palisade engine oil consumption defect to compel the manufacturer to issue a safety recall before a catastrophic stalling event causes a fatal accident.

NHTSA ID

11764275

Incident

Jun 28, 2002

I do not understand how Hyundai can approve its required testing process, have the vehicle fail that test, and then deny the engine replacement resulting from those findings. This is unfair and raises serious concerns about how Hyundai is applying its warranty procedures.Hyundai’s published oil-consumption procedures establish a process for diagnosing excessive oil consumption and determining when further repairs, including engine replacement, may be warranted. I am requesting that Hyundai explain exactly what requirement my vehicle allegedly failed to meet and provide documentation supporting the denial.I am requesting that Hyundai reverse the denial and fully cover the necessary engine replacement under warranty. I also request a complete review of my maintenance history, repair records, oil-consumption test results, diagnostics, and the dealership’s submission. This vehicle has been properly maintained and has only approximately 80,000 miles. I purchased it expecting a reliable vehicle that would last many years. An engine developing excessive oil consumption at this mileage is unacceptable, and I believe Hyundai should stand behind its product and warranty obligations.

NHTSA ID

11763426

Incident

Sep 9, 2026

I am reporting a serious safety defect involving the A/C system on my 2020 Hyundai Palisade. The A/C system has failed due to a manufacturer acknowledged defect in the compressor pulley and hub assembly. Hyundai has issued multiple Technical Service Bulletins (TSB 21‑HA‑003H, 24‑HA‑003H, 25‑HA‑003H / 003H‑1) documenting this exact failure pattern. These TSBs confirm Hyundai is aware of widespread A/C failures in this model. Despite acknowledging the defect in writing, Hyundai has refused to repair the vehicle, citing “time in service and mileage,” even though the failure is directly tied to a known defective component. This refusal leaves a safety‑critical defect unaddressed. This is not a comfort issue. This vehicle is used for medical transportation of a medically needy child who requires strict temperature regulation. Loss of A/C in Florida heat creates a dangerous and medically hazardous environment inside the vehicle. The cabin temperature rises rapidly, creating a risk of heat‑related medical complications. This is a clear safety hazard, not a cosmetic or convenience problem. The A/C failure is sudden, unpredictable, and cannot be mitigated by the driver. The defect results in: Complete loss of cooling in high‑heat conditions Inability to maintain medically safe cabin temperatures Documented component failure acknowledged by Hyundai Manufacturer refusal to correct a known defect Increased risk of medical harm to a vulnerable passenger Hyundai’s denial of assistance despite multiple TSBs proving the defect demonstrates a failure to address a safety related mechanical issue that directly impacts occupant health. This defect should be investigated as a potential widespread safety problem affecting 2020 Hyundai Palisade vehicles. I am requesting NHTSA’s review and investigation into this defect due to the significant safety risk, the manufacturer’s documented knowledge, and the potential for medical harm caused by the failure of the A/C system.

NHTSA ID

11763168

Incident

Aug 31, 2026

On August 14, 2026, while driving and decelerating, I heard a knocking sound from the engine and the vehicle had difficulty downshifting. As the transmission shifted from second gear to first, the engine stalled immediately and the vehicle dropped into neutral while on the roadway. I lost propulsion in traffic. The vehicle behind me nearly rear-ended us due to the sudden stall. My children were in the vehicle. All dashboard warning lights illuminated at the moment of the stall. I was able to restart the engine and move the vehicle slowly, in first gear only, into a nearby parking lot. The check engine light came on at that restart and has remained on since. The vehicle sat parked and off for approximately 90 minutes. Before restarting, I checked the engine oil level and it was within the normal range. On startup, my children and I both heard a loud knocking sound and noticed an unusual smell, and the engine idled roughly while in Park. I drove approximately 15 minutes home with the rough idle continuing. On arrival the vehicle smelled hot, with a burning odor, although the temperature gauge read approximately mid-scale and was not in the high range. The check engine light remained on and the oil level was again confirmed to be within range. The vehicle has been out of service since the incident and is currently at a dealership awaiting diagnosis. This is a 2020 Hyundai Palisade with approximately 93,000 miles at the time of failure. A sudden loss of motive power in a travel lane is a safety defect.

NHTSA ID

11762084

Incident

Aug 14, 2026

Certain vehicles may exhibit excessive paint peeling or bubbling of the primer/paint film on the exterior metal body panels: hood, fender(s), roof, door(s), quarter panel(s), and tailgate/trunk. This warranty extension only applies to factory-applied paint and does not cover collision-related paint repairs or vehicles with a salvaged title. Hyundai is extending the warranty coverage for certain white paint colors under these conditions from 3 years and 36,000 miles, to 10 years with unlimited miles from the date of original retail delivery or date of first use, and is valid for original and subsequent owners.

Certain 2020 – 2025 model year Palisade vehicles may exhibit engine oil leakage at the engine oil filter housing assembly due to deterioration of the housing seal. At Hyundai, we are committed to providing vehicles of outstanding quality and value. In an effort to meet this commitment, the warranty coverage for the Engine Oil Filter Housing Seal under these conditions has been extended to 15 years/180,000 miles from the date of original retail delivery or date of first use (whichever occurs first) and is valid for original and subsequent owners.

Certain 2020 – 2024 model year Palisade vehicles may exhibit a clunking or thumping noise from the rear of the vehicle while driving over rough roads. This may be caused by worn rear self-leveling shock absorbers. At Hyundai, we are committed to providing vehicles of outstanding quality and value. In an effort to meet this commitment, Hyundai is extending warranty coverage for the self-leveling rear shock absorbers under this condition to 10 years / 120,000 miles (whichever occurs first) from the date of original retail delivery or date of first use and is valid for original and subsequent owners.

Some Palisade (LX2), Tucson (NX4), and Tucson Hybrid (NX4 HEV) vehicles may experience battery drain due to continuous operation of the cooling fan after vehicle ignition has been turned off, potentially resulting in a no-start condition. The continuous cooling fan operation is caused by a stuck relay in the engine room PCB block. This bulletin provides instructions to replace the engine room PCB block to ensure the proper operation of the cooling fan.

Certain Palisade (LX2) vehicles may exhibit a clunking or thumping noise from the rear of the vehicle while driving over rough roads. This may be caused by worn self-leveling rear shock absorbers. Hyundai is extending the warranty coverage for the self-leveling rear shock absorbers to 10 years/120,000 miles from the date of original retail delivery or date of first use (whichever occurs first) and is valid for original and subsequent owners. Follow the procedure in the bulletin to identify the source of the noise, and if necessary, replace one or both self-leveling rear shock absorbers. Please note that for the first repair, replacement of both rear shock absorbers will be covered by this warranty extension. For subsequent repairs, one or both rear shock absorbers will be covered depending upon the impacted side(s).

Some Palisade (LX2) vehicles may produce noise from AWD coupling vibrations when making turns caused by a logic error with the All Wheel Drive Electronic Control Unit (AWD ECU). This bulletin provides instructions to update the AWD ECU to reduce the coupling noise.