A soldier opened fire on the suspect outside the Paris museum this morning.
According to BBC News, a soldier was hurt during the incident at the popular tourist attraction in which the assailant was seriously injured.
The male suspect is reported to have shouted "Allahu Akbar" during the attack while brandishing a machete.
The Louvre has now been evacuated and a major security is under way at the museum and a nearby shopping centre in the French capital.
According to Reuters, Louvre officials said visitors already inside the museum when the attack took place were being held there.
In a series of tweets, Paris police chief Michel Cadot said the attacker "launched" himself at soldiers keeping guard in the Carrousel du Louvre area of the museum.
Cadot said: "We are dealing with an attack from an individual who was clearly aggressive and represented a direct threat, and whose comments lead us to believe that he wished to carry out a terrorist incident."
The French interior ministry has described the situation as "serious", BBC News reports.
In a statement, the Foreign Office said it advises British visitors in Paris to "exercise caution, avoid the affected area and follow the advice of the local authorities."
