The 54-year-old man was killed after being hit by an empty logging truck in Castle St outside the Dunedin Railway Station about 7.45am.
The collision appeared to have happened on or near the cycle lane on the southbound section of State Highway 1 between Anzac Ave and Stuart St.
The man died at the scene.
Early indications were that the truck was turning into Castle St from Anzac Ave when the collision happened, police said.
The driver of the truck, who was uninjured, was interviewed yesterday and an investigation by the police commercial vehicle investigation unit was started.
Police said the dead man's name would be released once his next of kin had been contacted.
Erika Buky, from cycling advocacy group Spokes Dunedin, said Dunedin's cycling community was in shock.
"We have a small but supportive cycling community here. Everybody who cycles regularly in Dunedin rides in that vicinity or knows people who do.
"We're shocked by this news and extend our deepest sympathy to the victim's family."
The crash showed more needed to be done to improve road safety.
Spokes Dunedin had previously alerted the Dunedin City Council and the New Zealand Transport Agency (NZTA) to the hazards faced by cyclists, especially on arterial routes through the central city.
"We've seen improvements, and we know that local officials understand and share our concerns, but road marking and narrow cycle lanes aren't enough to protect cyclists from collisions with heavy vehicles on these routes. We need more investment in infrastructure as well as better education and awareness among road users."
Another cyclist, whose wife was two months ago knocked off her bicycle by a car a few hundred metres south of yesterday's crash, questioned why NZTA encouraged people to ride on the busy arterial route at all.
Putting a cycle lane there was effectively saying to cyclists that was the safest place to ride, but if there was no cycle lane, it could rightly be suggested cyclists use it at their own risk.
By encouraging cyclists to use the one-way, the NZTA shared the blame for each collision, the cyclist, who wished to remain anonymous, said.
NZTA Otago-Southland highways operations manager Roger Bailey said the crash was a tragedy and extended NZTA's sympathy to the victim's family.
Until the full circumstances of the crash were known, it would be premature to speculate on the specific causes or any potential responses, he said.
"We are assisting police with their investigation, and we will carefully consider any recommendations which emerge."
The NZTA would not make any further comment on the crash until the police investigation was finished.
