A power-tool choice can become confusing when both options share Milwaukee FUEL branding, lithium-ion battery technology, and a no-battery-included configuration. The meaningful split here is tool format: the Milwaukee 3453-20 is a 1/4-inch hex impact driver, while the Milwaukee 2854-20 is a 3/8-inch compact impact wrench with a friction ring. Start with that distinction, then weigh the $71.87 listed-price spread and the control features that matter to your work.
Quick verdict
Choose the Milwaukee 3453-20 M12 FUEL impact driver when you specifically want the compact 1/4-inch hex driver format and prefer the lower listed price. Its title calls out brushless operation and four modes, making it the more direct fit for a shopper who has already decided on an M12 impact driver.
Choose the Milwaukee 2854-20 M18 FUEL compact impact wrench when the 3/8-inch friction-ring wrench format is the priority. Its description adds stated torque, lighting, auto shut-off, and bolt-removal control details that make its purpose more clearly defined. The higher listed price is most compelling when those wrench-specific features are the reason for the purchase.
At-a-glance comparison
| Decision point | Milwaukee 3453-20 M12 FUEL | Milwaukee 2854-20 M18 FUEL |
|---|---|---|
| Listed price | USD 87.50 | USD 159.37 |
| Named tool format | 1/4-inch hex impact driver | 3/8-inch compact impact wrench with friction ring |
| Battery inclusion | No | No |
| Battery technology | Lithium-Ion | Lithium-Ion |
| Listed identity | Brushless, 4-Mode, Compact | M18 FUEL compact impact wrench |
Where each Milwaukee tool wins
The 3453-20 wins the simpler decision: selecting a compact M12 hex impact driver at the lower listed price. Its brushless designation and four-mode wording give it useful control-focused credentials without moving into the wrench category.
The 2854-20 wins when the work calls for the format and features named in its description. Milwaukee states up to 250 ft-lbs. of nut-busting torque, an 8-inch length for access in tight spaces, and Tri-LED lighting intended to reduce shadows. It also has 4-Mode DRIVE CONTROL, including auto shut-off and bolt-removal mode.
Product notes
Milwaukee 3453-20 M12 FUEL 1/4-Inch Hex Brushless Cordless Impact Driver
The Milwaukee 3453-20 is the better match for shoppers who want a compact, brushless 1/4-inch hex impact driver rather than a compact wrench. Four-mode operation is part of the title, so it is a sensible pick when adjustability is part of the appeal. It also sits at the lower listed price in this comparison, which keeps the decision straightforward for an M12 driver shopper. The limitation is equally straightforward: its defining format is a hex impact driver, not the 3/8-inch friction-ring wrench configuration offered by the 2854-20. Battery inclusion is listed as no, so the tool itself is the focus of the purchase.
Milwaukee 2854-20 M18 FUEL 3/8-Inch Compact Impact Wrench with Friction Ring
The Milwaukee 2854-20 is the focused choice for someone seeking a 3/8-inch compact impact wrench with a friction ring. Its description is especially specific about control: auto shut-off applies no more than 20 ft-lbs. of torque, while bolt-removal mode slows RPMs once a bolt has loosened. The stated 250 ft-lbs. of nut-busting torque, 8-inch length, and Tri-LED lighting further distinguish this wrench from the M12 driver. Its limitation is the higher listed price, so it makes the most sense when the wrench format and its stated torque-management features are central to the decision rather than simply optional extras.
Final choice by use case
Pick the Milwaukee 3453-20 M12 FUEL 1/4-inch Hex Brushless Cordless Impact Driver if your intended tool is a compact hex impact driver and the lower listed price is important. Pick the Milwaukee 2854-20 M18 FUEL 3/8-inch Compact Impact Wrench with Friction Ring if you want the compact wrench format plus the stated torque, lighting, auto shut-off, and bolt-removal capabilities. This is less a contest between two versions of the same tool than a choice between a dedicated driver format and a dedicated wrench format.

