The derailment occurred near Billingsport Road around 12:00 p.m.
Authorities say the train was being pulled into PBF Energy's Paulsboro refinery.
Only one car derailed and it was empty of any cargo.
A company called SMS Rail Line was operating the train at the time of the incident.
This scene is not far from last year's train derailment in Paulsboro, in which chemicals leaked into the air.
Parts of Billingsport Road were blocked.
There was no immediate word as to how this derailment happened.