One lane of the M62 eastbound was closed between J22 and J23, sparking delays of more than 40 minutes.
Video footage from the scene showed the car and the caravan it was towing ablaze.
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The fire has since been put out by the emergency services, though there are still some delays in the area.
Highways England tweeted at 12.30pm: "Fire has been extinguished and vehicle awaiting recovery.
"All lanes open M62 eastbound between J22 (Denshaw) and J23 (Huddersfield).
"Please allow time for the delays to ease. Approx. 6 miles of congestion remains, add an extra 30 minutes on to your current journey time."
Photos taken at the scene show the inside of the caravan completely burnt out.