Some Palisade (LX2) vehicles may exhibit engine oil leakage at the engine oil filter housing assembly due to deterioration of the housing seal. Hyundai is extending the warranty coverage for the engine oil filter housing seal 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. Follow the procedure in this bulletin to replace the engine oil filter housing seal in order to address this condition.
full bulletin at NHTSA ↗2023 Hyundai Palisade engine problems
moderate Owners of the 2023 Hyundai Palisade have filed 12 NHTSA complaints about the engine at roughly $3,100 to repair (U.S. federal records, as of August 2026). Source: NHTSA Office of Defects Investigation. See engine across all vehicles →
Complaints
12
Recalls
0
Avg fix
$3,100
| Model year | engine complaints |
|---|---|
| 2020 Palisade | 75 |
| 2021 Palisade | 29 |
| 2022 Palisade | 29 |
| 2023 Palisade (this page) | 12 |
| 2024 Palisade | 8 |
| 2025 Palisade | 3 |
| 2026 Palisade | 4 |
Is there a fix? Manufacturer service bulletins
The manufacturer has issued service bulletins covering engine on this vehicle — documented repair instructions, service campaigns, or warranty extensions sent to dealers. A TSB isn't a recall (it's not a free safety remedy), but it's the manufacturer acknowledging the issue and how to fix it.
Some Palisade (LX2) vehicles may exhibit engine oil leakage at the engine oil filter housing assembly due to deterioration of the housing seal. Hyundai is extending the warranty coverage for the engine oil filter housing seal 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. Please note any vehicles within 15 years / 180,000 miles are covered by this TSB, even if the vehicle is still within the New Vehicle Limited Warranty (NVLW) of 5 years / 60,000 miles or Powertrain Warranty of 10 years / 100,000 miles (for the original owner).
full bulletin at NHTSA ↗Some Palisade (LX2) vehicles may exhibit engine oil leakage at the engine oil filter housing assembly due to deterioration of the housing seal. Hyundai is extending the warranty coverage for the engine oil filter housing seal 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. Follow the procedure in Technical Service Bulletin (TSB) 26-EM-012H to replace the engine oil filter housing seal in order to address this condition. Please note that any vehicles within 15 years / 180,000 miles are covered by this TSB, even if the vehicle is still within the New Vehicle Limited Warranty (NV
full bulletin at NHTSA ↗Hyundai has become aware that certain Palisade vehicles equipped with 3.8L GDI Lambda II engines may not meet engine-out NOx (Nitrogen Oxides) and Particulate Matter (PM) emission standards.
full bulletin at NHTSA ↗Hyundai Motor America wants you to be aware of two Important Service Campaigns related to your Hyundai vehicle. Enclosed are the notification letters for Service Campaign 9C8 and Service Campaign 9C9.
full bulletin at NHTSA ↗Source: NHTSA manufacturer communications. Bring the bulletin number to your dealer or shop.
The failure pattern owners describe
Owners describe a complex of engine and drivetrain issues affecting 2023 Palisades, with several creating acute safety hazards. The most severe problem involves cold-weather startup: vehicles consistently enter a limp mode when first driven in temperatures below 30°F, especially on road grades above 5%. Engine RPM jumps to 3000+ but the car won't accelerate beyond 20 mph for 20-30 seconds—owners must coast through intersections and onto busy highways with no power, a dangerous condition that recurs every year. One owner stated Hyundai diagnostics cannot detect the fault.
Separate instances detail engine shutdowns while driving or idling: some vehicles stall completely on highways, others at traffic lights, with restart messages appearing on the dash. Multiple shutdowns in quick succession have been reported. A related problem shows up as hard bumping (3-4 jerks) during initial acceleration after idle periods, shedding power and creating rear-collision risk.
Acceleration problems also surface in Snow Mode: vehicles won't respond to throttle input from a full stop, moving as though in neutral until the driver switches driving modes.
Additional reported failures include serpentine belt/pre-tensioner squealing on every cold start below 40°F (repair attempts unsuccessful), engine start failures requiring restart of the ignition sequence, and oil filter housing failure within the first week of oil changes at very low mileage, raising engine damage risk.
Same Hyundai Palisade engine reports on nearby years: 2020 · 2021 · 2022
Failure modes owners describe
Cold-start reduced power and limp mode at intersections
Engine enters a limp/coasting state on initial startup during cold weather (below 30°F), especially on inclines over 5% grade. Vehicle shakes, RPM jumps to 3000+ but car won't accelerate beyond 20 mph for 20-30 seconds. No warning lights. Occurs consistently every time after vehicle sits overnight in cold temperatures.
When: Cold weather season (below 30°F), after vehicle sits overnight, at intersections with grade greater than 5%
Symptoms owners cite: Vehicle shakes when turning onto road; Engine won't respond to gas pedal depressing; Speedometer shows under 20 mph while engine RPM jumps over 3000; Vehicle coasts instead of driving; Delayed kickback into Drive after 20-30 seconds; No warning lights or instrument panel alarms
Repairs/costs cited: Dealer equipment cannot detect the problem. Technicians have witnessed the failure away from dealership but cannot reproduce it there.
Recalls/TSBs owners mention: Hyundai USA told owner to file a claim; no further response received.
Engine shutdown at idle with Auto Stop malfunction
Engine shuts down while idling at traffic light or stop, triggering 'Auto Stop is Off. Shift to P or N Start Engine Manually' message. Engine requires manual restart after 5+ minutes of attempting to restart, blocking traffic and creating accident risk.
When: While idling at traffic light; intermittent over 3+ days
Symptoms owners cite: Engine enters shutdown mode at idle; Message displays 'Auto Stop is Off. Shift to P or N Start Engine Manually'; Engine will not respond to restart attempts initially; Requires 5+ minutes before engine restarts; Occurs intermittently over multiple days
Repairs/costs cited: One dealer service manager suggested computer update, quoted $260, but stated it does not guarantee fix.
Recalls/TSBs owners mention: Dealer suggested computer/software update; owner reports this issue has been occurring on multiple Hyundai models for over 8 years without recall.
Hard bumping on initial acceleration after sitting
Engine produces hard bumps or jerks when pressing gas pedal immediately after startup or after vehicle has sat idle for several days. Car does not pick up speed smoothly during the bumping phase, creating rear-collision risk. Issue is intermittent, stopping for several days then returning.
When: On initial acceleration after vehicle has sat idle for several days
Symptoms owners cite: Hard bumping/jerking 3-4 times when pressing gas pedal; Poor acceleration pickup during bump phase; Intermittent pattern—occurs every few days, then stops, then recurs; No warning messages or dash lights
Repairs/costs cited: Issue not reproducible at dealer but documented in service notes.
Engine shutdown while driving with restart required
Engine shuts down unexpectedly while driving on highway or at speed, accompanied by 'Engine Failure' alert or 'Engine is off. Shift to P or N' message. Vehicle requires manual restart via start button. No shift or ignition button was pressed. Can occur multiple times in succession over short distances.
When: While driving on highway; one owner reported after 8 minutes of idling with key fob present, then occurred twice more over 300-500 feet
Symptoms owners cite: Engine stalls while driving; Safety alert displays 'Engine Failure' or 'Engine is off. Shift to P or N'; Loud beep and red triangle warning; Engine must be manually restarted; Multiple stalls in succession possible; No driver action triggered shutdown
Repairs/costs cited: One owner advised to have vehicle towed if issue recurs.
Loss of acceleration in Snow Mode at full stop
When starting from complete stop in Snow Mode, engine does not respond to gas pedal inputs. Car moves slowly as though in neutral and won't accelerate, creating intersection collision risk. Issue resolves when switching to Smart Mode. Occurs repeatedly when starting from stops in snowy conditions.
When: In Snow Mode, at complete stop when attempting to accelerate
Symptoms owners cite: No engine response to gas pedal from full stop; Pumping gas pedal produces no acceleration; Vehicle moves slowly as if in neutral; Issue resolves when switching to Smart Mode; Occurs during turning attempts at intersections
Cold-start serpentine belt/pre-tensioner noise
Loud squeal occurs on every cold start below 40°F, persisting for approximately 10 seconds. Dealer misidentified issue as serpentine belt pre-tensioner but repair did not resolve the noise. Owner reports many Telluride and Palisade owners report same issue on forums.
When: Cold start below 40°F, persists 10 seconds
Symptoms owners cite: Loud squeal on cold start; Only occurs below 40°F; Persists for about 10 seconds after start; Occurs on every cold start; Indicates widespread issue across multiple owners
Repairs/costs cited: Dealer initially blamed serpentine belt pre-tensioner, but repair did not resolve issue.
Engine start failure requiring restart of start sequence
Engine cranks but will not fully ignite on initial start attempt, requiring driver to cancel start and retry before engine runs. No check engine light illuminates. Occurs across multiple 2023-2024 Palisade owners.
When: On initial engine start, intermittent
Symptoms owners cite: Engine cranks but does not fully start; Acts as if out of fuel; Requires canceling start and retrying; No check engine light; Occurs across multiple owners of 2023-2024 models
Repairs/costs cited: One owner suspects fuel pump issue despite not being on fuel pump recall.
Oil filter housing failure and oil leakage
Oil filter housing breaks and leaks oil within one week of first oil change, occurring at 5335 miles on new vehicle. Dealer confirmed oil filter housing failure as cause. Owner found multiple 2022-2023 Palisade owners reporting similar failures online, raising concerns about fire risk from oil starvation and overheating.
When: At 5335 miles, within 1 week of first oil change
Symptoms owners cite: Oil leakage after oil change; Broken oil filter housing; Pattern of failures across multiple 2022-2023 model-year vehicles
Repairs/costs cited: Oil filter housing replaced by dealer.
Synthesized from 12 NHTSA owner complaints — unverified consumer allegations, summarized for patterns. The verbatim filings appear below.
What owners are reporting 0 most recent
Had engine trouble with your 2023 Hyundai Palisade?
File a complaint with NHTSA → It's free, official, and how every report above got here — owner filings are the federal safety record this page is built on.
Common questions
How serious is the engine problem on the 2023 Hyundai Palisade?
It's a documented issue but not catastrophic. 12 complaints have been filed. Repairs average $3,100 and most owners catch it before it causes a breakdown.
At what mileage does the engine typically fail?
Mileage data is limited for this issue. Owners report failures across a wide range, suggesting cause is more about driving conditions and maintenance than mileage alone.
What does it cost to fix?
Independent shops typically charge around $3,100 for engine repairs on this vehicle. Dealer pricing tends to run 20-40% higher. The exact figure depends on the specific failure mode, parts availability, and your local labor rates. If you're outside factory warranty, an extended service contract often covers this category.
Are there any recalls related to engine?
No active recalls currently cover engine issues on this vehicle. The complaints filed represent owner-reported failures that haven't risen to the level of a manufacturer-issued recall — but they're still worth knowing about before you buy or budget for repairs.
Related
Complaint and recall data sourced from the National Highway Traffic Safety Administration (NHTSA)
public records database. Verify the raw federal record at
nhtsa.gov/vehicle/2023/Hyundai/Palisade.
Severity ratings are derived from reported crashes, fires, injuries, and fatalities. Repair cost estimates are
independent-shop national averages and may differ in your area. Some links on this page are affiliate links.