Firefighters are tackling an explosion at BCB Environmental Waste Services on Marston Moor Business Park in Tockwith.
Police are advising motorists to keep their windows up as they drive between J46 at Wetherby and J47 on the A1.
Traffic is believed to be 'coping well'. There are also reports of smoke blowing across the road on A64 between the A659 and Colton Lane.
According to the York Press, villagers have been evacuated and nearby residents have been told to keep their windows closed.
It's believed a plume of black smoke is headed towards York.
Tockwith is situated nine miles west of York and five miles north-east of Wetherby.
UPDATED 12.38PM: There's a gallery of pictures from the incident over at the BBC. Firefighters are still at the scene. The YEP reports that crews from Leeds have also attended the scene. The York Press reports that residents of surrounding villages have been issued with safety warnings.