Authorities said a huge man-made mound of earth and construction debris lost stability and collapsed.
The city is one of China's biggest and is a major industrial centre.
It is situated in the southern province of Guangdong, across the mainland border from Hong Kong.
The landslide has blanketed a vast area of 380,000 sq m (455,000 sq yards) covering it with up to 10m (32ft) of mud at an industrial park, Shenzhen's emergency management office said on its official microblog.
State news agency Xinhua said that the landslide caused an explosion at a natural gas pipeline. Workers have cleaned up about 400m of damaged pipeline and are now repairing it.
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