A manhunt was launched for 51-year-old David Wilson after he failed to stop for police during a routine check in east Te Anau about 9.25am.
Police pursued the vehicle for about 30 minutes, during which time it was spiked.
The vehicle came to a stop about 10am in Tutoko Lane, and the man fled on foot.
Police, including dog units and helicopters, spent much of yesterday searching for the man.
The armed offenders squad also assisted as a precaution, and police said they believed the man had a firearm.
State Highway 94 was closed between the intersections of Sandy Brown Rd and Kakapo Rd.
A resident of nearby Tutoko Lane said she had received a phone call telling her to stay inside her house.
Two ambulances were waiting about 100m from Kakapo Rd and two helicopters were seen scouring the area.
Southern Lakes Helicopter chief pilot Sir Richard Hayes, who lives near Te Anau, said a helicopter had picked up members of the Invercargill armed offenders squad from near Winton to fly them to the scene.
He said officers and a police dog had come through his section in Tutoko Lane searching for a person, but he did not think anyone had been on the property.
