Northumbria Police has confirmed inquiries are ongoing following the incident, which took place at around 1.10am on Westoe Road.
A force spokesman said officers signalled for a blue Ford Mondeo to stop after its driver ignored a red light.
The driver refused and continued to drive through South Shields before colliding with two stationary vehicles and the front of a shop on the street.
The spokesman added: “Three occupants of the blue Ford Mondeo fled the scene but were all arrested nearby and remain in custody at this time.”
The vehicle was also seized by police.
Anyone who saw the blue Ford Mondeo in the early hours of Monday is asked to contact police on 101 quoting log 30 02/03/20.