The incident happened in the small eastern town of Haaksbergen near the German border when the children were apparently watching an adult set off fireworks using a homemade device.
“A 12-year-old boy died after the incident. Another boy has been taken to hospital,” police tweeted.
“The children had nothing to do with the incident,” they added.
The children were watching a man set off explosives using a “klaphamer”, the NOS public broadcaster said.
The device is essentially a scaled-up version of a cap pistol toy in which a hammer strikes an anvil filled with combustible powder, producing a loud bang.
Police arrested one man.
Before the Covid-19 pandemic, the Dutch traditionally celebrated New Year by forking out vast amounts of money on fireworks in a pyrotechnics frenzy that turned some city streets into virtual battlefields.
But the practice has been banned for two years running. Dutch Health Minister Hugo de Jonge said firework-related injuries placed too much strain on health workers already battling the coronavirus pandemic.
Yet despite the ban, loud bangs could frequently be heard in the run-up to New Year’s Eve.
