The earth shook after a thunderous explosion followed by what looked like a "white mushroom cloud'' in Al Quoz at around 7.15am on Wednesday.
The massive fire that ensued demolished more than 20 warehouses in Al Quoz Industrial Area 1, killing two and injuring two others, according to initial reports from police and emergency workers.
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Emergency workers recovered a completely charred body from the scene, a police officer said.
“I was driving down Shaikh Zayed Road in the morning when I heard an explosion so loud it rattled my car windows,'' said a Dubai-based expatriate.
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The explosion broke the windows of neighbouring buildings and sent flaming tin roof up in the air, according to witnesses.
Dubai police sources said the fire may have started from two firecracker warehouses, which were adjacent to a block of toys, cables, pipes and diesel storage.
Thick, black smoke billowed from the block as burnt toys, clothing, Christmas lights and cardboard boxes were thrown up to a kilometre away. Debris of small firecrackers were strewn all around the block and on the streets.
Police cordoned off the area and fire fighters battled the blaze near the Grand Mall, where thousands of Dubai's construction workers are camped.
“It's like a war zone,'' said an eyewitness, who also reported seeing broken and charred safety helmets, clothes, blow torches and cardboard boxes.
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Some small pops can be heard till about 10.30am as the wind made it more difficult for the fire fighters.
“The massive fire could be seen as far away as Sharjah,'' said a resident.
The smoke hovered over the city for hours. A Dubai police official said it may take a day for it to return to normalcy.
All of the Dubai's fire stations were called in to help fight the blaze, said Mahmood Hamad, spokesperson of the Dubai Civil Defense.
