The Egyptian troops exchanged fire with the smugglers and seriously injured two of them.
Israeli soldiers arrived at the area of the Nitzana border crossing and fired warning shots into the air before they scanned the border area and found two men seriously injured.
The soldiers performed first aid and tried to rescue them, but they were pronounced dead by military doctors on the scene.
News reports said the two were trying to smuggle drugs.
Channel 10’s website reported that Israeli soldiers spotted a smuggling attempt and fired warning shots into the air. The soldiers then tried to arrest the suspects but they fled on a quad bike so the soldiers shot at them killing two.