Which parts fail
Components named in complaints (automatic and manual transmissions, CVT, axles, driveshaft, 4WD/AWD).
Mileage when the problem started
Owner reports
Selected complaints filed with NHTSA by 2004 Cadillac CTS owners, lightly cleaned up (personal details are redacted by NHTSA).
The output shaft flange for the transmission that mounts to the driveshaft coupler the flange starts to break away and then breaks . I can provide photos but the metal on the part is close the the end and if I did not find this problem by mistake the drive shaft would have came free
Rear pinion seal failed and rear axle locked up. Lost control and was involved in accident. Shocked to find out there is a recall for 2005 and newer CTS (NHTSA campaign number: 07V589000, GM recall no. 07204) but not my 2004 which has an identical rear main seal. The part number used in the recall is the same to repair my 2004.
Dt*: the contact stated the transmission became stuck in reverse while backing out of a parking space. The vehicle excessively increased in speed without warning, spun three times and collided with a parked vehicle. The air bags did not deploy, and both passengers incurred pinched nerve injuries and mild spinal injuries in the collision. A police report was filed. The vehicle was towed to a service dealer where only the body of the vehicle was repaired. Since this incident, the vehicle has been exchanged for a different vehicle. Updated
Wheel hop or axle tramp caused the rear to lose traction and the stability track and traction control failed to correct the problem. The axle tramp is a severe banging of the rear when there throttle is applied to the car. The rear spun and caused the car to hit a guard wall.
At about 100K I noticed the axle seals on the rear differential is leaking. There are recalls on this but not based on my VIN number. When I noticed this the car was on a lift in the air being inspected by a mechanic.
Was driving down the road at 55 MPH and all of a sudden we lost drive power. The RPM's revved up to 4 before I could pull over on a busy road jumping two lanes of traffic with my three kids in the car. It was storming the car was running but would not engages in gear. When we got out there was transmission fluid poring and spraying out of the car we quickly knew to turn it off and call for help. When we got the car home we saw that the transmission line came off the radiator. I have seen sense then that this problem is very common and most peoples transmission are shot after this happens. Witch is a $5000 fix. There was no indicators that the part was bad or that the coolant pan was loose in the bottom of the radiator which striped out the nut on the line leavening me and my three kids stranded on the side of the road. …
Had my cruise control set at 70 MPH for highway driving when I heard a psshhh sound and cruise control broke violently and smelled burnt rubber with smoke coming from back end of car. Pulled over immediately and car smoke from back end and smell only increased. Thought for sure I had a tire blowout. Walked around car and nothing wrong with tires. Had car towed to an auto repair place and am told that the rear differential went out. I have since investigated and found many, many forums about this issue. There are no recalls for this particular model but a certain recall for 2005 models. This situation could have been deadly and I feel both fortunate and upset with GM that such a problem has been so commonly noted but with no "real" resolve. The auto repair place has called around and this is a special part that is not available in my state and a new one costs an estimated $1,200. …
Tl contact owns a 2004 Cadillac CTS. The contact took his vehicle in for an oil change and was informed that there was a leak in the pinion seal. The failure occurred without warning. The mechanic stated that NHTSA campaign id number 07V589000 (power train:axle assembly:axle shaft:seal) applied to the 2005-2007 models. The contact felt that his vehicle should have been included in the recall because the failures were identical. The dealer referred him to the manufacturer and they advised the contact to go to another dealer. It was confirmed that the pinion seal failed. He was informed that because the vehicle was not included in the recall, it would not be repaired for free. The current mileage was approximately 72,000 and failure mileage was approximately 71,700. Updated 01/07/09. Updated 01/08/09.
1) I took my car in on 3/30 complaining of a leaking rear differential. I was informed nothing was wrong with the vehicle. 4/20 I was driving on the highway at normal speeds. I down shifted and heard a loud bang. The engine revved yet the car wouldn't move. The rear differential had quite literally exploded. 2) the housing to the rear differential shattered causing one of the bolts to come out and the remainder of the housing to hang at an angle. The internals of the differential looked as though a grenade had been set off in them. The passenger side rear half shaft was hanging out of the housing. 3) I'm currently locked in a fight with my local Cadillac dealership. They are trying to refuse warranty.
Noticed brown liquid leaking from the front driver wheel area. Had vehicle towed to GM dealer where they discovered a coolant line failure which created leaking of transmission fluid into radiator and coolant into transmission. Both transmission and radiator need replacing, car is unable to be driven. This was determined by the dealer and Cadillac to be a failure of the part, unable to be prevented and unable to detect. Consumer was not at all responsible for damage. Total estimated cost $4,900. Contacted GM where they offered to "split" the cost 50/50, myself reliable for the $2400. Although Cadillac took responsibility for the failure, I am responsible for the cost of repair.
NHTSA investigations
Failure of the rear differential
Odi evaluated two different alleged defects involving rear drivetrain components during this preliminary evaluation.GM is conducting a recall to address one of the defect conditions and odi has opened an engineering analysis to continue its investigation of the other alleged defect.
Rear drivetrain component failure
In July of 2007 the office of defects investigation (odi) opened pe07-037 to investigate allegations that the rear differential May fail causing a loss of motive power, and in some instances a loss of control, in model year (my) 2004 through 2006 Cadillac cts, cts-v, and sts vehicles.as a result of that investigation GM issued recall 07v-589 to correct a leaking pinion seal problem.ea07-017 was opened to investigate…
Transmission complaints in other CTS years
Frequently asked questions
How common are transmission problems on the 2004 Cadillac CTS?
NHTSA has 52 complaints about the transmission & drivetrain of the 2004 Cadillac CTS, 23% of the model year's 224 complaints. The component named most often is driveline › differential unit (32 mentions).
Is there a recall for 2004 Cadillac CTS transmission problems?
No. NHTSA lists no transmission & drivetrain recall for the 2004 Cadillac CTS, though it has 6 recalls for other components. If the problem is widespread, a repair may still be covered by an extended warranty or a manufacturer service bulletin — ask a dealer.
At what mileage do 2004 Cadillac CTS transmission problems start?
Half of the complaints with a recorded mileage happened before about 20,000 miles, and 58% before 25,000 miles.
Is it dangerous?
Owners linked 3 crashes, 0 fires and 3 injuries to transmission & drivetrain problems on this model year. If you notice symptoms, have the car checked before driving further.
Source: U.S. National Highway Traffic Safety Administration (NHTSA) — owner complaints through October 20, 2026, recalls and defect investigations; fuel economy from the EPA. Complaints are unverified reports and are not proof of a defect. How we rate model years.