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The Biggest Complaint About the Hyundai Palisade

The biggest complaint about the Hyundai Palisade, across multiple model years, is its problematic interior odor issue in early models (primarily 2020–2021), described by owners as a strong, persistent “chemical,” “burning,” or “dead animal” smell coming from the cabin, particularly the headrests and seats. While more recent models have largely moved past this problem, it remains the most widely reported and high-profile concern associated with the Palisade.

A Popular SUV With One Standout Controversy

Since its debut for the 2020 model year, the Hyundai Palisade has been widely praised for its value, comfort, and long list of standard features. Yet amid strong sales and positive professional reviews, one issue has consistently surfaced in owner reports and online forums: an unpleasant and sometimes overwhelming odor inside certain vehicles, especially in the first generation of the model. This singular problem has generated more attention and frustration than other, more routine complaints about ride quality, fuel economy, or infotainment quirks.

The Interior Odor Problem: What Owners Reported

Owners of 2020 and some 2021 Hyundai Palisades began reporting cabin smells soon after purchase. The complaints were striking not just for their frequency, but for the vivid language owners used to describe the odor and its impact on daily driving.

How Drivers Describe the Smell

Drivers and passengers of affected Palisades have used a range of descriptors when talking about the odor issue. The descriptions help illustrate both the severity of the smell and how disruptive it can be to the driving experience, especially on longer trips.

Below is a breakdown of the most common ways owners have characterized the smell in their vehicles.

  • “Chemical” or “industrial” smell: Many owners report a harsh, synthetic odor reminiscent of strong adhesives, plastics, or solvents.
  • “Burning” or “acrid” odor: Some compare it to burnt electronics or overheated materials, raising initial safety concerns.
  • “Dead animal” or “rotting” smell: A subset of owners say the odor is so pungent and organic-smelling that they feared an animal had died inside the vehicle.
  • “Headrest smell”: Numerous drivers note the odor seems to come particularly from the front headrests or seatbacks, becoming more noticeable in warm weather.
  • Persistent, even after cleaning: Repeated detailing, deodorizing, or airing out the vehicle often fails to eliminate the smell completely.

Together, these accounts show that the problem has gone far beyond a mild “new car smell,” rising instead to the level of a defect that can affect comfort, perceived quality, and even the willingness to drive or ride in the vehicle.

Where the Odor Comes From

While Hyundai has not publicly issued a detailed component-by-component breakdown, dealer communications and technical service bulletins (TSBs) point to specific interior materials as the probable source rather than mechanical systems like the engine or HVAC.

The following points summarize what is understood about the causes, based on service documents, dealer reports, and owner experiences.

  • Interior trim and upholstery materials: The smell is widely believed to be linked to certain materials used in seats, headrests, and possibly foam or adhesives in early production runs.
  • Off-gassing / volatile organic compounds (VOCs): Some experts suggest the odor is a form of aggressive off-gassing—a release of chemicals from new materials that, in this case, is unusually strong or unpleasant.
  • Heat and humidity as triggers: Complaints often spike in warmer climates or after the vehicle is parked in the sun, indicating that temperature may intensify the odor.
  • Localized to certain production periods: The issue appears concentrated in earlier build dates and has become less frequently reported in later 2022–2024 models.
  • No confirmed safety hazard: To date, regulators and Hyundai have not characterized the smell as a direct health or safety risk, though many owners say it causes headaches or nausea.

These findings suggest that the odor is a manufacturing and materials-selection problem rather than a mechanical failure, yet one significant enough to damage owner satisfaction and brand perception.

Hyundai’s Response and Dealer Fixes

As reports multiplied on owner forums, social media, and complaint databases, Hyundai and its dealer network began to react with a mix of inspections, cleanings, and parts replacements. The response has been uneven, with some owners satisfied and others still searching for a lasting solution.

Technical Service Bulletins and Service Actions

Hyundai issued internal guidance and TSBs to help dealers diagnose and address the odor complaints. These documents, while not recalls, outline steps technicians should take when customers bring in affected vehicles.

Key elements of Hyundai’s approach can be summarized as follows.

  • Inspection of interior components: Dealers are instructed to inspect headrests, seat foam, and other trim components as potential odor sources.
  • Replacement of headrests or seat materials: In some cases, Hyundai-authorized repairs include replacing the front headrests or other affected upholstery parts with updated components.
  • Deodorizing and cleaning procedures: Some service visits involve professional interior cleaning, deodorizing, and ventilation steps to reduce the smell.
  • Case-by-case handling: Outcomes have varied, with some owners receiving part replacements under warranty and others being told the smell would diminish over time.
  • No broad recall: Because the issue has not been deemed a safety defect, Hyundai has not launched a nationwide recall focused solely on the odor problem.

While these measures have resolved the issue for many Palisade owners, others report only partial improvement, leading to continued frustration and repeat visits to dealerships.

Owner Experiences With Warranty Support

How effectively the problem was addressed often depended on the dealer, the severity of the odor, and how persistently the owner pressed the case. Reports from online communities and consumer complaint portals paint a mixed picture of the customer-service experience.

The main patterns in owner feedback on Hyundai’s handling of the smell can be outlined as follows.

  • Successful fixes after parts replacement: Some owners say odor issues disappeared once headrests or seat components were replaced with newer parts.
  • Partial relief, then recurrence: Others report that cleaning or temporary fixes improved the smell, only for it to return weeks or months later.
  • Dismissal as “normal new car smell”: A number of drivers say their initial complaints were downplayed as typical new-vehicle odors that would fade, which did not always prove true.
  • Multiple service visits: For especially severe cases, owners sometimes cycled through several appointments—cleanings, inspections, and part swaps—before a workable solution emerged.
  • Regional differences: In hotter, more humid areas, complaints about the odor and its persistence seem more common, possibly due to environmental factors intensifying off-gassing.

These accounts suggest that while Hyundai’s warranty framework can address the problem in many cases, the path to resolution has sometimes been long and inconsistent, leaving a lasting impression on affected customers.

How Newer Hyundai Palisade Models Have Changed

As the Palisade has matured, Hyundai has updated not only the styling and technology, but also—crucially—the materials and refinement inside the cabin. Industry observers and owner communities generally agree that the strong odor complaints that defined early models have become far less prominent in recent years.

2022–2024: Fewer Odor Complaints, New Concerns

Recent model years of the Palisade have not escaped all criticism, but the nature of the complaints has shifted away from the intense interior smell that dominated the earliest owner discussions. Instead, drivers have raised more routine concerns familiar to any large SUV.

The most commonly mentioned issues in newer models can be framed as follows.

  • Ride firmness and road noise: Some owners feel the Palisade’s ride is firmer than expected, especially on larger wheels, with more road noise than some competitors.
  • Fuel economy expectations: Given its size and V6 engine, real-world fuel consumption can disappoint buyers hoping for near-crossover efficiency.
  • Infotainment quirks: Occasional complaints surface about system lag, smartphone integration glitches, or software bugs, though these are not unique to Hyundai.
  • Third-row access and comfort: While generally praised, a minority of owners wish for more space or easier ingress for adults in the third row.
  • Isolated quality-control issues: As with most volume vehicles, scattered reports of minor rattles, trim misalignment, or other fit-and-finish issues appear, but without a single defining pattern.

These critiques are typical of the segment and do not approach the scale or intensity of the earlier odor complaints. For many buyers today, the Palisade’s strongest negative association still comes from reports tied primarily to its first model years.

Consumer Advice: What Buyers Should Know

For anyone considering a Hyundai Palisade—new or used—the odor issue is still worth understanding, even if it is largely historical. Awareness can help shoppers ask the right questions and evaluate whether any given vehicle is affected.

Buying a Used 2020–2021 Palisade

Shoppers in the used market, especially for early-model Palisades, may want to take practical steps to ensure they are not inheriting a persistent odor problem. A careful inspection and open conversation with the seller or dealer can make a significant difference.

Key considerations for used buyers include the following.

  • Spend time inside the vehicle: Sit in the Palisade with the windows closed and the HVAC running for several minutes to check for any unusual or strong smells.
  • Ask about service history: Request records for previous complaints or repairs related to interior odors, headrest or seat replacements, or TSB-driven work.
  • Check build date: Early production 2020 units were more commonly associated with smell issues; a later build date may reduce risk, though it’s not a guarantee.
  • Consider climate history: Vehicles from very hot regions may have experienced more pronounced off-gassing; check whether prior owners reported smell problems.
  • Leverage warranty coverage: If the vehicle is still under Hyundai’s warranty, confirm with a dealer what support would be available if the odor problem reappears.

These steps do not ensure a flawless vehicle, but they significantly improve the odds of spotting a problematic Palisade before signing a contract.

Current Owners Facing Odor Problems

Owners who still experience the smell in their Palisade—most often in early model years—have several avenues to pursue. Persistence is often key, as some fixes require multiple visits or escalation beyond the first service advisor.

Practical steps for affected owners typically involve the following strategies.

  • Document the issue: Keep a record of when the smell occurs, its intensity, weather conditions, and its impact on occupants (for example, nausea or headaches).
  • Visit an authorized Hyundai dealer: Request an inspection under warranty, specifically mentioning known odor complaints and any related TSBs.
  • Ask about part replacements: Inquire whether updated headrests or other interior components are available, not just cleaning or deodorizing.
  • Escalate if necessary: If the dealer response is unsatisfactory, consider contacting Hyundai corporate customer service or seeking a second dealer opinion.
  • Explore consumer-protection options: In severe and unresolved cases, some owners consult lemon-law attorneys or state consumer agencies, depending on local regulations.

While not every case ends with a complete cure, documented persistence and a clear request for component replacement improve the likelihood of a meaningful resolution.

Why the Odor Issue Became the Defining Complaint

The Hyundai Palisade competes in a crowded three-row SUV market, where rivals have their own lists of concerns. Yet among Palisade owners, no topic has drawn as much attention as the interior odor in early models. Several factors explain why this issue, in particular, has overshadowed more routine criticisms.

Impact on Daily Use and Perception

Unlike minor infotainment bugs or slightly firm suspension tuning, an overpowering smell changes how people feel every time they get into their vehicle. It can turn even short commutes into uncomfortable experiences and raise doubts about a car that, in most other respects, performs very well.

The prominence of this complaint is tied to a few core reasons.

  • Constant exposure: Odor is impossible to ignore—drivers and passengers are confronted with it on every trip, especially in warm weather.
  • Perception of quality: A bad smell in a brand-new, premium-feeling cabin undermines the sense of craftsmanship and attention to detail.
  • Health and safety fears: Even without confirmed toxicity, the “chemical” nature of the odor leads some to worry about long-term exposure.
  • Social amplification: Dramatic descriptions like “dead animal smell” spread quickly online, magnifying the issue’s visibility.
  • Contrast with otherwise strong reviews: Because the Palisade is widely praised for comfort and value, a glaring flaw stands out even more sharply.

For many shoppers and owners, the odor problem thus became the lens through which the entire vehicle was evaluated, even as Hyundai worked to minimize and resolve the issue in later production.

Summary

The Hyundai Palisade has earned a reputation as one of the more compelling three-row SUVs on the market, praised for space, features, and overall value. Yet the most prominent and widely discussed complaint associated with the model—especially in 2020 and some 2021 vehicles—has been a strong, unpleasant interior odor linked to certain cabin materials, particularly headrests and seats. While Hyundai dealers have addressed the problem through inspections, deodorizing, and component replacements, the issue has left a lasting mark on early-owner experiences and online discussions.

Recent model years from 2022 onward show far fewer reports of severe interior smells, and most current criticisms of the Palisade now revolve around more typical SUV concerns such as ride firmness, fuel economy, and occasional infotainment quirks. For buyers considering a used Palisade, especially early build years, a careful in-person smell test and review of service history remain prudent steps. For those shopping new, the notorious odor problem is now more a cautionary chapter in the vehicle’s early history than a defining feature of its present lineup.

What are the downfalls of the Hyundai Palisade?

Common cons of the Hyundai Palisade include unimpressive fuel economy, a tight third-row seat with limited legroom, and a small trunk space behind the third row. Some owners also report issues with engine noise, sluggish acceleration on V6 models, and a potentially inconsistent ride quality. Additionally, some buyers note the standard V6 engine’s performance can feel underwhelming, and the hybrid model has a lower towing capacity and a higher price. 
This video discusses the ride quality and brake feel of the Hyundai Palisade: 55sMotorNationYouTube · Jul 27, 2025
Performance and fuel economy

  • Fuel economy: The Palisade’s fuel economy is considered average for its class, with an estimated 19 MPG city/26 MPG highway for front-wheel-drive models and 19 MPG city/24 MPG highway for all-wheel-drive models. 
  • Acceleration: Some reviewers find the standard V6 engine to be sluggish, particularly when accelerating to merge or pass on the highway. 
  • Towing capacity: The hybrid model has a lower towing capacity (4,0004 comma 0004,000 lbs) compared to the gas-powered model (5,0005 comma 0005,000 lbs). 

This video discusses the performance and acceleration of the Hyundai Palisade: 1mMotorNationYouTube · Sep 12, 2025
Interior and practicality

  • Third-row space: The third row is noticeably tight, especially for adults, with about 31.431.431.4 inches of legroom. 
  • Trunk space: The cargo area behind the third row is on the smaller side, at 181818 cubic feet. 
  • Storage cubbies: Some drivers find there are fewer and smaller storage cubbies compared to what they might expect. 

Technology and features

  • Wired connectivity: While the infotainment system is praised for its ease of use, it requires a wired connection for both Android Auto and Apple CarPlay. 
  • Infotainment screen: Some users report inconsistencies in the infotainment screen, which sometimes defaults to the home screen instead of the last used screen. 

Other potential issues

  • Ride quality: Some owners have noted an inconsistent ride, with lower trims sometimes feeling “floaty” or disconnected, and some experiencing brake shudder. 
  • Noise: Reports of wind noise are also mentioned by some owners. 
  • Safety features: Some reviews mention imprecise advanced driver-assistance systems (ADAS). 

Do Hyundai Palisades have engine problems?

Short answer: The most common problems with the Hyundai Palisade are engine stalling, oil leaks, engine knocking, and loss of power.

What is the problem with the Hyundai Palisade 2025?

The main issues with the 2025 Hyundai Palisade include safety recalls for a potential fire risk from an electric oil pump and seat belt buckle failures. Additionally, some owners have reported problems with the braking system over uneven surfaces, potential wind noise, and quality control issues.
 
This video explains potential fire hazard in 2025 Hyundai Palisade: 1mAutoMotive InquiriesYouTube · May 9, 2025
Safety recalls

  • Fire risk: A recall was issued for a faulty electric oil pump assembly that could allow moisture to enter, leading to a short circuit and a potential fire. Owners are advised to park outside. 
  • Seat belt buckles: A recall affects 2020-2025 models where the driver, passenger, and second-row seatbelt buckles may fail to latch. 
  • Windshield wipers: Some models have an open recall for a windshield wiper failure. 

Other reported problems

  • Braking issues: A lawsuit alleges a braking problem where the system may release and reapply power suddenly over rough surfaces due to wheel speed miscalculations. 
  • Wind noise: Some owners have reported excessive wind noise. 
  • Quality control: Other issues mentioned include problems with sunroof drainage and a popping sound from the shocks. 
  • Infotainment and features: While generally praised, the infotainment system can be occasionally slow, and some owners of higher trim models have noted the absence of features like power mirrors or wireless Apple CarPlay. 
  • Paint and trim: Some owners have reported that the paint on exterior trim can be fragile. 

What year of palisade to avoid?

Based on owner complaints and reliability data, the 2020 and 2021 Hyundai Palisade are the model years to avoid. They received the most complaints, including issues with the imitation leather headrests, automatic transmission troubles, and sunroof malfunctions. While newer models like the redesigned 2026 have their own set of issues, the first two years of production are generally considered to have the most widespread problems. 
2020-2021 Palisade

  • Headrests: Some owners reported an odd smell from the imitation leather headrests. 
  • Sunroof: Issues included the sunroof track breaking, the frame twisting, and plastic parts cracking. 
  • Transmission: There were reports of automatic transmission problems and general automatic transmission troubles. 
  • Other issues: Other complaints included noises, rattles, and wind noise, as well as leaks around the seals and weather stripping. 

2022-2023 Palisade 

  • These years are generally seen as an improvement over the 2020 and 2021 models. 
  • However, there were still some reported issues with the 2022 model year, such as noises, leaks, and exhaust problems. 
  • The 2023 model year had a few recalls and some owner-reported issues with electronics and the exhaust system. 

2024-2025 Palisade 

  • The 2024 model has had a few recalls and reports of transmission problems and rough shifting. 
  • The 2025 model is still new, but some early reports point to engine stalling, knocking, and electrical issues. 
  • Some owners of the 2024 and 2025 models reported positive experiences, so the reliability of these models is still being determined. 

2026 Palisade 

  • The 2026 model is a complete redesign, but some owners have expressed concerns about its handling, design, and interior features.
  • The ride may feel firmer due to larger wheels and thinner tires, and the new haptic controls could be distracting to some drivers.
  • New models also come with higher prices and potentially reduced value perks. 

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