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 1996 GMC Sierra owners, lightly cleaned up (personal details are redacted by NHTSA).
While towing trailer with 2 quads (4 wheelers) on expressway with a group of co-workers, I was attempting to pass another vehicle when my truck would not shift into passing gear. It made a loud "reving" noise and began rapidly decreasing in speed. I pulled off the expressway bringing the vehicle to a complete stop. I then gradually accelerated and shifted manually, but was only able to acheive 1st gear. I had to have the vehicle towed 150 miles to my house where it still sits three months later with only reverse and 1st gear operable at this time.
Vehicle jerks and violently vibrates when shifting up and down, increasing and decreasing speeds. Also, noticed greasy spots from fluid leaking. First time vehicle was sent for repairs problem was never done. It was taken taking back a second time. Dealer's service technician pointed out that it leaked while it was still up on the lift. Please provide more information.
Vehicle was parked on a hill and the key was removed, the vehicle was then placed into a gear while off without key and rolled down hill. It was stopped with the emergency brake and placed back into park, all this was done while the vehicle was shut off. GMC has been contacted.
Intermittently while driving transmission would slip out of overdrive to next gear. Then, after stopping and reacceleration vehicle would experience a hard shifting into gear. Dealer and manufacturer were notifed. Feel free to provide any further details on this matter.
Automatic transmission is leaking fluid, dealer replaced clutch slave, cylinder assembly seal and found that the fluid was leaking at the shifter on top of the transmission, transmission mount is also weak which is causing problems shifting. Nlm
When returning from a trip the transmission started to slip when engaging overdirve..over the next 150 to 200 miles it progressively got worse and now overdirve and 3rd gear are entirely gone and the engine just freely revs..only 1st and 2nd gear are usable.
Consumer was traveling about 25mph on highway and went to make right hand turn, and rear end shifted and vehicle started making funny noises. Transmisiion started slipping, and vehicle wouldn't go into shift at all.
Left rear axle seal failed to hold grease in axle, grease dripped all over left rear wheel & brake pads, potential for fire/brake failure, dealer replaced seal & brake pads, refilled axle with grease.
The tranmission was replaced at 43429 miles, consumer believes there is a defect in workmanship or material which May have caused this failure at such low mileage.
Transmission does not slow vehicle down the way it should when decelerating while in gear; also, speeds to 30 MPH in 3rd gear with gas pedal released.
Transmission complaints in other Sierra years
Frequently asked questions
How common are transmission problems on the 1996 GMC Sierra?
NHTSA has 24 complaints about the transmission & drivetrain of the 1996 GMC Sierra, 10% of the model year's 246 complaints. The component named most often is automatic transmission (14 mentions).
Is there a recall for 1996 GMC Sierra transmission problems?
No. NHTSA lists no transmission & drivetrain recall for the 1996 GMC Sierra, though it has 2 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 1996 GMC Sierra transmission problems start?
Half of the complaints with a recorded mileage happened before about 109,000 miles.
Is it dangerous?
Owners linked 0 crashes, 1 fire and 0 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.