Police, ambulance crews and the Isle of Wight Fire and Rescue Service are all in attendance near to the Isle of Wight College.
The southbound carriageway heading towards Newport has been closed by Police and Island Roads while the incident is dealt with.
No one has been trapped in the collision, which is understood to have involved four vehicles. One person is said to have received minor injuries.
Reports of leaking fuel have led to one crew from Newport Fire Station turning out to the scene, which is causing traffic chaos in Newport as rush hour hits.
UPDATE @ 17:35 – Traffic is said to be flowing through the industrial estate, however is becoming heavy on Hunnyhill.
Southern Vectis are advising that Route 1 buses are running 20-30 minutes late.
UPDATE @ 17:39 – One lane of the southbound carriageway has now reopened, according to Island Roads.
Route 7 service between Newport and the West Wight is also facing delays say Southern Vectis.
UPDATE @ 18:00 – Medina Way, Newport has now fully re-opened.
Photo: Island Echo reader Jamie Adams