His shot wounded the officer who later died at Terre Haute Regional Hospital, police said.
Neither the officer nor the suspect were immediately identified. No additional information was immediately available on the male officer who was killed.
Terre Haute police confirmed the suspect's death during a news conference late Friday night.
Vigo County Sheriff Greg Ewing says his and other departments, will help in covering the area as Terre Haute officers mourn their loss. "He was a fine officer who was going toward danger to assist his fellow officers in apprehending a homicide suspect today".
"We're unfortunately seeing this too often when people are engaging with law enforcement and we are losing our lives and other agencies have to work those cases for us", says Terre Haute Police Chief John Plasse. At 9:23 p.m., Watts said the suspect had been detained and was injured.
The police officer was on the scene as a part of a murder investigation, Terre Haute police spokesman Ryan Adamson stated, however authorities didn't reveal when the murder occurred. We are deeply saddened by the loss of our officer, and ask that you keep our entire community in your prayers.
During the standoff officials called the area risky and urged residents to avoid it. Watt said state police will conduct an investigation into the events leading up to the fatal shooting.
It was the first Terre Haute police officer slain in the line of duty since July 11, 2011, when Officer Brent D. Long was killed serving an arrest warrant at a home, the Terre Haute Tribune-Star reported.