Hyundai’s Palisade has been a widely adopted sport utility vehicle in the U.S., with the automaker selling over 560,000 units since the first generation was launched in 2020. Despite its success, the SUV hasn’t had a flawless record. A major new recall has now been issued, which is the second to involve all units.

The latest issue involves the side curtain airbags in the third row, which could endanger occupants during a collision, according to the National Highway Traffic Safety Administration (NHTSA). This action impacts model years 2020 through 2025, covering about 568,576 units in the U.S.

Airbags Would Not Properly Deploy

During a routine safety inspection by MGA, it was discovered that the curtain airbags, when deployed, failed to provide adequate protection to passengers in crashes. Hyundai confirmed the defect in a compliance test, concluding that the 100 mm performance limit did not meet regulatory standards.

Interior of the 2025 Hyundai Palisade SUV showing the third-row seat.

This vulnerability increases the risk of injury, particularly in rollover and side‑impact collisions. Fortunately, Hyundai reports that no injuries have been linked to this fault so far.

The airbags are supplied by Autoliv, a Swedish company that manufactures a large share of the world’s vehicle airbags.

Fix for the Airbag Fault Is Coming

Hyundai has confirmed it is developing a remedy for the airbagdefect, which will be announced once finalized. The automaker has pledged to provide the repair free of charge, including reimbursement for any related repairs completed before the official solution. Official notification letters are scheduled for mailing in mid‑March this year.

This follows a September 2025 recall of more than 568,000 Palisades due to seatbelt malfunctions affecting the driver, front passenger, and second‑row seats. The faulty seatbelts may fail to restrain occupants during collisions, with Hyundai estimating that over 1% of owners were affected.

Repairs for the seatbelt problem were also offered free of charge, with owners required to bring their vehicles to authorized dealers and service centers.

Are you a Palisade owner affected by these corrective actions? Share your experience with us.

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