I've never bred Fjords so if this is breed specific I might be wrong.
First looking at his genes, I saw nothing out of place there. Next I decided to work out the names of his coat. ee + aa makes him a liver chestnut. Then adding DD makes him a liver chestnut dun. And finally adding Crn should make him Dunalino, you are correct.
So I decided to take away the DD and that would make him a Chocolate Palomino which makes sense.
My conclusion is that yes you are correct and he should be Dunalino but somewhere in the code instead of combining the dun and cream and extension (or lack there of) gene to equal calling him dunalino. It read the dun + cream + extension as chocolate palomino with dun on top of that.
Hope my mini investigation helped.

the “palomino dun” vs “dunalino” issue has been going on with the game for some time yeah, though purebred fjords have a little extra weirdness because their purebred base layers are always supposed to be dun while every other breed isn't like that. so while it's not entirely a breed specific issue, i can imagine that horse being a fjord could still factor in somehow.

Don't trust the design lab, it lies! 

Dunalino is ONLY palomino dun. The other ones, Golden palomino, light palomino and chocolate palomino do not turn into Dunalino. Examples: https://horsefable.com/horse/2000588 vs https://horsefable.com/horse/2004985