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 GMC Envoy XL owners, lightly cleaned up (personal details are redacted by NHTSA).
Tl* the contact owns a 2004 GMC Envoy XL. While driving approximately 60 MPH, the vehicle inadvertently decelerated. The contact stopped at a fuel station and proceeded to check all the fluid levels. The contact continued to drive and the check engine warning indicator illuminated. The contact could only operate the vehicle in first and second gears. The vehicle was taken to an independent mechanic who determined that the transmission failed and needed replacement. The vehicle was not repaired. The dealer was not contacted. The manufacturer was made aware of the failure and complaint number: 84441281449 was filed. The approximate failure mileage was 140,395. Consumer stated the vehicle has been repaired with a remanufactured transmission it is a know fact in the automotive industry that GM is aware of the faulty construction of truck trans missions. …
As I was driving in cruise control speed off 55 MPH vehicle begin to make a dragging sound. After stopping and placing vehicle into park and then putting gear back into drive vehicle began to go into reverse mode. I then tried every other gear 1,2,3 drive the vehicle continued to still go into reverse. The car still turns on without a problem but will not move forward when in drive.
When I first bought the vehicle the transmission was shifting eratiecly for a while. I took vehicle to dealer, and they said nothing was wrong drive it until it breaks. 3 months and about 3,000 miles later I had not had another problem. Until I pulled up to a stop sign at a busy intersection. I checked for trafic and went to pull out except that the Envoy would barely move. It was like the brakes were on or something was holding the vehicle back from moving. The cross traffic was quickly approaching and I had no choice but to slam on my brakes and hope the other person didnt hit me as I was sticking out in the intersection. The other person swerved and missed me. I pushed down on the accelerator again and slowly rolled through the intersection. I stopped on the other side of the intersection and tried to start again. …
Truck service engine light has continuously come on and off. The transmission went and lost all gears at 52,000 miles, after the vehicle had been in at 31,000 miles for the same reason. There have been multiple items in which the service engine light has been on: transmission several times but dealership could not find anything, fuel cap, fuel tank neck, internal gauge for the fuel tank, and only to get the vehicle back on 3/19/08 and for the service engine light to come on again. I swear this truck is a total lemon! I have had nothing but problems with this vehicle, and every time I have taken it to the dealership they can never find anything wrong. This last time was a total fight with the dealership regarding the transmission, along with no morals and respect for the consumer from GM themselves or the dealership. …
I was driving back home and parked in my driveway put the vehicle in parked and when I released the brake peddle the vehicle jump and took off in reverse. I missed hitting my wife by inches. I then stopped the vehicle and turned it off. Then I tried to restart the vehicle and it would not start. I tired to push the button on the shifter. I then though there was something wrong with the transmission. I then when to the internet and search what would cause the problem. Finding it was something to do with the lockout devise. I then checked inspected the transmission and found the cable that come from the shifter to the transmission was of and the bushing the was suppose to hold the cable end on the transmission bracket was defective and made my vehicle very dangerous almost hitting my wife. If it had happened in a parking lot I could have hit someone or the vehicle behind me. …
Erratic speedometer operation, we took it in to in to be checked and they said it needed a new cluster, also while it was there I had them check the 4wd service light which came on erratically and they said it also needed a new module. This is for a 2004 GMC Envoy with 64,984 miles. No extended warranty so we had to pay for the all the work done. The day I had it checked out the service rep did say there were problems with a certain year and if we had the right year and vehicle and if it was under 70,000 miles they would replace it for free. When we came back a couple days later to have the work done he said after I asked him it was for a silverado not sure if he said 2003 or 2004 but not for our vehicle..... I am very disappointed after 40 years of buying GM vehicles that GM didn't take care or help take care of the cost of these problems.
There is an issue with either the transfer case or transmission of my 2004 GMC Envoy XL. On several occasions, while performing slow maneuvers (20 MPH or less) in and out of parking spaces or making slower right or left hand turns, the vehicle feels as if it is being held back by something, until a loud clunk is heard as if a gear disengages, and then the vehicle jumps forward. This has proven to be dangerous to me, as I have felt more than once like I hit something. The vehicle also experiences very hard downshift, into first gear as the vehicle comes to a stop. This issue first appeared on the vehicle in December 2004, and has continued intermittently through the current date date (for more than 5 separate instances).
While driving at 35-40 MPH, after exiting the highway, (I-75) my truck just slowed all of a sudden, almost to a complete stop, no warning. And started jerking. I was almost rear ended. My truck started rattling, and clanking, and I had to have it towed. I was told by the dealership that my front carrier had thrown a bearing, (font differential) and the housing was broken. I was also told that it would be 3,286.53 to have my truck repaired. Upon further research, I learned from a friend that the same problem had occurred with his truck six months after he had purchased it, and that over 450 of these same parts had to be ordered in 2004 alone.
While driving and approaching a stop for a red light, there was a very loud crashing sound from under the vehicle. The vehicle was no longer able to drive in 1st gear or reverse. The vehicle was able to propel itself in 'd', but was very sluggish as if trying to start driving a manual transmission in 2nd or 3rd gear. While the vehicle was in neutral it would still propel itself when the accelerator was depressed. It was no longer able to be moved manually by pushing, it would only move when driven forward or when the rear wheels where lifted off the ground when it was towed. The dealer has recommended a new transmission.
I own a 2004 Envoy XL with a v-8 motor. I have complained to the dealer, who states they can't find a problem, that the transmission jerks extremely bad when it changes into 2nd gear and then again when it shifts into drive. I have been told by other Envoy owners that they have actually had their transmissions replaced, and one friend had even had his vehicle exchanged under the lemon law. The dealer had virtually done nothing to correct the problem. Other dealers in my area don't want to mess with the vehicle, and it only has 6500 miles on it. I'm beginning to believe that I've been stuck with a lemon.
Transmission complaints in other Envoy XL years
Frequently asked questions
How common are transmission problems on the 2004 GMC Envoy XL?
NHTSA has 20 complaints about the transmission & drivetrain of the 2004 GMC Envoy XL, 11% of the model year's 187 complaints. The component named most often is automatic transmission (6 mentions).
Is there a recall for 2004 GMC Envoy XL transmission problems?
No. NHTSA lists no transmission & drivetrain recall for the 2004 GMC Envoy XL, though it has 1 recall 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 GMC Envoy XL transmission problems start?
Half of the complaints with a recorded mileage happened before about 62,000 miles, and 22% before 25,000 miles.
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.