A fireball rises following an air strike in Khan Yunis in the southern Gaza Strip, late on Monday. AFP

Israel launched airstrikes on what it said was a Hamas military site in the Gaza Strip early on Tuesday.

Blaming Hamas for the balloons, the Israeli army said it had targeted locations belonging to the militant group that controls the Gaza Strip.

"Overnight, IDF fighter jets struck a Hamas rocket manufacturing workshop, as well as a Hamas military compound in Khan Yunis," the Israeli army said in a statement.

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"The strikes were in response to Hamas launching incendiary balloons into Israeli territory," the statement added.

Witnesses said that the army had also fired artillery at the north of Gaza.

According to the army statement Israeli fighter jets struck a Hamas rocket manufacturing workshop as well as a Hamas military compound in Khan Yunis, a city in southern Gaza.

The army said the compound houses a cement factory used for building tunnels used for terror attacks "and is purposefully located in a civilian area adjacent to a mosque and a water treatment site.”

The strikes came in response to Hamas-launched incendiary balloons into Israeli territory, the army said.