Police are hunting an alleged arsonist following a suspicious car fire in Surfers Paradise overnight.

Emergency services were called to an underground carpark on Peninsular Drive just after 7pm on Thursday following reports of a blaze.

Upon arrival, they found one car engulfed in flames, with the fire also spreading to a second nearby vehicle.

Two primary school aged children were treated at the scene by paramedics for smoke inhalation before being taken to the Gold Coast University Hospital.

A crime scene has since been declared as investigations into the blaze continue.

Get more from Moyra & Big Trev