A driver has drawn a sword in a terrifying road rage confrontation with his target responding by also wielding a blade.

The bizarre incident unfolded on in Epping — in Melbourne’s outer north — on Saturday night, with the confrontation escalating when one driver produced a sword.

In an extraordinary twist, his target then also wielded a sword through the driver’s door of his taxi.

After a brief verbal spat, both drivers continued down Edgar’s Road as if nothing had happened.

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Despite other motorists watching on in shock at the dangerous confrontation, police say no one has reported the incident.

Authorities are now appealing for witnesses to come forward with information about the sword-wielding drivers.