UPDATE: A MAN is dead and another severely burnt after a fiery road crash sparked a grassfire in central Queensland.

A semi-trailer carrying cars and a sedan collided on the Bruce Highway at Clairview, south of Mackay, about 7.30am this morning.

Police said the semi-trailer caught fire during the crash, sparking a grassfire next to the road.

Police have confirmed a male driver died in the crash.

The Department of Community Safety said the other driver, also a man, has been airlifted to hospital with severe burns.