Terrorists fired at an Army vehicle carrying some jawans in Jammu and Kashmir's Poonch district on Thursday, officials said.
The attack took place in the Thanamandi area of the district.
There was no immediate report of any casualty, the officials said.
Additional forces have been rushed to the spot and further details are awaited, they added.
Defence spokesperson Lt Col Suneel Bartwal said: "Based on hard intelligence a joint operation was launched in Gen Area DKG last night, contact has been established today evening and encounter is in progress. Further details being ascertained."