Terrified residents fled their homes as a massive explosion rocked their area, sending a towering mushroom cloud into the sky.

The blast occurred in Yuncheng, Shanxi Province, China, on January 13, sending shockwaves across the area and causing significant damage to nearby homes.

The explosion bent security doors and shattered windows, alarming residents who reported feeling the ground tremble.

Footage shows the explosion's aftermath, with the giant cloud rising into the sky while a woman exclaims in shock.

Initial uncertainty about the source of the blast led to rumours, with many fearing that it originated at a chemical plant, but local officials later clarified the situation.

The Linyi County Emergency Management Bureau of Yuncheng City confirmed that the explosion occurred at Shanxi Yuanhang Building Materials Co., Ltd.

Authorities said the explosion and subsequent fire happened at 10:29 am, with the fire extinguished by 11:50 am. No casualties were reported.

The cause of the accident is still under investigation.

While the clarification has eased concerns about hazardous materials, many residents remain shaken by the blast as they await the findings of the ongoing inquiry.