Tauranga Mayor Tenby Powell says a shoot-out that took place overnight on Thursday was very concerning.
The incident took place after officers tried to pull over a car as part of their investigation into the double killing in nearby Omanawa, but the driver fled towards the central city, as shots were fired at the police.
The car eventually pulled over and in the following shootout the man was killed. Armed police remain on alert.
Powell told Corin Dann the matter was of "great concern".
"These are weapons that we haven't seen used here before," he said.
"At this time, this is gang-on-gang violence, the community aren't involved and our police are working hard to contain this. But Tauranga isn't the only one affected by this. We are in the headlines right now, but this is an issue happening across the country."
