I have an issue with my 2000 cherokee. It runs really good but if I am driving it on the highway, around 65 mph and I am going up in a small hill "for example" I have noticed that it starts smoking white. I stopped and saw that transmission fluid was leaking and getting on top of the exhaust, that is why it was smoking. It only leaks after 10 or 20 minutes of driving more than 65 mph nad the over drive is engaged, at that point the RPMS goes from around 2000 to 3000 rpm going up. if the O/D is not engaged it does not leak. . I need help. Thanks!!

Where is the oil coming out of? Could be clogged breather or your foaming somehow. I've seen it puke out the dipstick tube. Make sure you are not overfull>

Exact same issue here, everything started after I had the tranny fluid changed by a local mechanic something I should have done myself in the first place. I am guessing they might have over filled it, thinking of draining some fluid out.

need to know where it is coming out of, and if it is 4x4 or not. if it looks like it is coming from the cross member and is a 4x4, then it is your rear main seal, between the t-case and the tranny. i changed mine with the same problems. solved it.

I experienced the same thing and it turned out my trans was overheating and blowing fluid out the vent on the top of the trans. If you dont have a trans cooler I'd suggest getting one, if you do have one I'd upgrade. Mine had a factory cooler that I replaced with one from an 06 chevy (fullsize) van and have had no further problems.

Thanks guys for all the help. I fiund out that from 2000 to 2001 those jeep cherokee had a bit of a problem with the oil pump at the trans. The jeep cherokee with the tow package has an extra cooler for the trans oil. I did some maintenance on my jeep and the next thing is the cooler. Thanks again for all your help.