Hyundai Suspends Sales of Palisade SUVs Over Seat Recall

Hyundai Motor Company announced on Friday the suspension of sales for certain new Palisade SUV models in Canada and the United States. This decision comes alongside a recall of tens of thousands of vehicles due to a power seat issue, prompted by a recent tragic incident involving the death of a two-year-old girl in Ohio.

The affected models include the 2026 Hyundai Palisade Limited and Calligraphy trims, in which the second- and third-row power seats may fail to detect contact with occupants or objects as intended. The company did not provide specific details about the incident that occurred on March 7 resulting in the fatality.

Approximately 68,500 vehicles are included in the recall, with around 8,000 units in Canada, according to Hyundai. The automaker extended its condolences to the bereaved family, emphasizing that the incident is still under investigation and further information is pending.

Hyundai is actively working on a remedy for the recall and is offering customers rental vehicles as an alternative transportation option until a permanent solution is available. The company advises caution when using the second- and third-row power seat functions, urging individuals to ensure no occupants or objects are in the seat or seat-folding area before activation.

To address the issue, Hyundai is developing an interim over-the-air software update expected to roll out by the end of March. This update aims to improve the system’s responsiveness to contact with occupants or objects, introduce additional safety measures, and enhance overall system reliability.

The U.S. National Highway Traffic Safety Administration has not yet responded to inquiries for comment on the matter.