According to local reports, the attack took place when a car veered off course and struck zionist settlers who were waiting at a bus station near a shopping center in Tel Aviv.
Following the collision, Khalaila exited the vehicle and began stabbing people on the street before being shot and injured.
He was shot dead by an armed zionist settler after the operation, Hebrew media outlets said.
Meanwhile, tensions remain high in the occupied West Bank as the zionist occupation regime's aggression on Jenin City and its refugee camp entered its second consecutive day on Tuesday.
The Palestinian health ministry reported that the ongoing attacks have resulted in the deaths of at least ten Palestinians, including four minors, and have left over 100 people injured, with 20 of them in critical condition.
In a separate incident near Ramallah, Israeli soldiers shot and killed another Palestinian during protests in support of Jenin. The situation on the ground remains tense as clashes continue between Palestinian protesters and Israeli security forces. (ILKHA)