Army technical officers have defused what they described as a "viable device" in County Armagh.
A picture of the car released by the PSNI
It was discovered in a vehicle at Monaghan Road between Millford village and Armagh city. It has been taken away for forensic examination.
Following a coded bomb warning to a media outlet in Belfast, searches were carried out in 15 locations in Northern Ireland.
Security alerts took place in Armagh, Banbridge, Lisburn, Moira and Dungannon
The police also advised members of the public not to touch suspicious objects.
The railway line between Scarva and Portadown was also closed for a time due to a security alert.
Kenny Maclean of the PSNI condemned the incident.
"The device had been activated and the terrorists left behind the bomb consisting of a timer power unit with crude explosives in gas cylinders," he said.
"ATO also found two containers with petrol in the boot. The resultant explosion would have taken the form of a large fireball and shrapnel."