I'm not 100% sure because I don't use that feature, but I think you need to push the USB/AUX button on the head unit to toggle between the two. Right now the head unit is looking for the wrong input.
Good luck.
Sorry, just re-read your post and you tried that. Oops..... Is there an i-pod enable/dis-able setting in one of the head unit menus that needs to be toggled off so the aux isn't in i-pod mode?
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