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All RAAF personnel were reported as safe and the Defence Department said there were "no serious injuries" following the incident at the Nellis Air Force Base outside Las Vegas.
In a statement, the Australian Defence Force said the aircraft involved was an EA-18G Growler, an aircraft specializing in electronic warfare.
Officials gave no further information on what happened other than that the plane had to abort and that they will wait until an investigation is completed to reveal the cause of the crash.
The Growler has the ability to tactically jam electronics and is used for protection to "U.S. military forces and allies around the world", according to Boeing's website.
RAAF Growler apparently experienced a critical engine failure during takeoff at Nellis AFB, before skidding off the runway. "Both the pilot and ground crew are safe".
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A foreign military source described the attack as "complex", adding there were "several victims". But fighters remain active, and large tracts of the country are out of government control.
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It is believed the plane caught fire soon after taking off and the pilot was forced to eject from the aircraft. However all personnel are safe.
"Emergency services are on scene".
Australia's contribution also includes an AP-3C Orion and a E-7A Wedgetail airborne early warning and control aircraft.
Four RAAF Growlers deployed to Nellis for Red Flag 18-1.
"It's the largest Red Flag ever with the largest number of participants, highlighting the balance of training efficiency with mission effectiveness". More information will be released to the public as it becomes available.
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