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could be but chevy truck have a common problem with the 4wd system
you have to replace some kind of actuator mounted in the mechanism inside the motor the one is attached to the transfer case to switch the 4wd system,you need to get the motor out and work with it in the work bench for furter information about it explain to you dealership parts guy cost around 130 bucks and if you do it your self mark the position of the sprocket or gear when you open it to avoid mistakes and have to take out again because the gear teeths have a position to make the device fit back on the transfer case
4WD! the transfer case is not stuck in neutral is it? Fluid levels are good? Have you noticed a decrease in mileage or power prior to this problem? If no then time to take it in for service it sounds like. Transmission fluid is not consummed, so if it leaked out then you may be able to fill it up and get the leak fixed, if too late then its a rebuild on the tranny.
The Z71 typically comes with the auto 4wd transfer case (cannot remember the GM number). This requires AutoTrak II, which is available at a GM dealer. Do not use any other fluid in this transfer case! The previous post was correct in the location of the two plugs, but not on the fluid (the other types of transfer cases by GM use ATF). The transfer case is located under the truck right under the cab. There is a small skid plate under it, and a large driveshaft leaves the rear end of the case heading to the rear differential (axle). If you have the manual or electronic w/o auto 4WD transfer case, you can use Dexron III, but Dexron VI is a better fluid that is also now available at your local auto parts store. Again, if you have the AUTO 4WD button in the dash, use the AutoTrak II fluid from the dealer.
Has it been some time since 4X4 was engaged? Have you had the fluid changed in the tranfer case? it should be done at 60,000 miles, worn out lubricant can cause these kinds of problems with transfer cases.
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