The incident occurred near Nablus and was described by the Israeli army as a "car ramming attempt."
The Palestinian health ministry stated that 18-year-old Fawzi Mukhalifa was killed by Israeli bullets in the town of Sebastia on Friday.
Mukhalifa's death marks the second killing of a Palestinian by Israeli forces in the West Bank within hours.
The Israeli regime army stated that they responded to "a car ramming attempt" in the northern West Bank town by firing towards the suspects in the vehicle, resulting in the driver being killed.
Another individual who had been in Mukhalifa's car was wounded and subsequently arrested by the Israeli regime forces.
This deadly incident comes amid escalating tensions in the West Bank, an area occupied by Israel during the 1967 Six-Day War. The region has witnessed increased violence by Israeli settlers against Palestinian communities.
Earlier on Friday, the Palestinian health ministry reported the death of 17-year-old Mohammed Al-Bayed near the city of Ramallah. Al-Bayed succumbed to injuries caused by live bullets fired by Israeli forces in the village of Umm Safa, with Israeli border police accusing him of attacking officers.
According to an AFP tally compiled from Palestinian official sources, Israeli violence this year has resulted in the deaths of at least 198 Palestinians.