The fire is in Beard just outside Queanbeyan.
An employee of a Beard scrapyard was treated for smoke inhalation after several cars in the industrial estate caught fire on Thursday afternoon.
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ACT Fire & Rescue was called to the blaze on Underwood Street about 1.20pm and arrived to find several scrapped cars "well alight".
The service responded with two compressed air foam system tankers, two fire pumpers and a commander vehicle.
The scrapyard staff member was treated by the ACT Ambulance Service.
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