A father and his young daughter have been caught up in a fiery crash in Sydney’s southwest after a car fleeing police slammed into their vehicle.

Police spotted a Nissan X-Trail allegedly fitted with stolen number plates on Cartwright Ave in Cartwright about 8am on Friday.

WATCH THE VIDEO ABOVE: Police chase ends in fiery crash at Bonnyrigg

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Officers attempted to stop the vehicle, but the driver allegedly failed to pull over, prompting a police pursuit.

The pursuit was terminated on Bolinda St in Busby, but the Nissan continued driving.

It later collided with a Volkswagen sedan on Brown Rd in Bonnyrigg Heights before bursting into flames.

The Nissan X-Trai burst into flames after the crash. Credit: 7NEWS

Three people — two men and a woman — fled the burning Nissan.

A 50-year-old man and a 10-year-old girl travelling in the Volkswagen suffered minor injuries and were assessed by paramedics at the scene.

Fire and Rescue NSW crews extinguished the blaze.

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Witness Melissa Smith said the frightening incident left her shaken.

“I yelled out to my daughter, ran down and said get inside quick,” she said. 

“Still a bit edgy … was gonna go to the gym … not going now, didn’t feel in that frame to go.”

A father and his young daughter in the Volkswagen sedan suffered minor injuries following the crash. Credit: 7NEWS

Another witness said the crash happened just metres from a bus stop, raising concerns that the situation could have been even worse.

A 30-year-old man was arrested on Dransfield Rd in Bonnyrigg Heights a short time later, with assistance from PolAir.

He was charged with driving a motor vehicle during a disqualification period and dishonestly possessing an interfered-with unique identifier.

He was refused bail and is due to appear before Bail Division Court 9 on Saturday.

Police are still searching for the two other occupants.

Investigations are still underway.