Officers responded to the 400 block of W. 84th Street just before 9:30 p.m. Wednesday after a radio call of a male on fire, according to Los Angeles police.
An initial investigation determined that the teenager was "manipulating pyrotechnic materials" when the explosion happened.
Witnesses reported hearing a loud blast come from a home and seeing smoke rising from the backyard.
Officers and fire crews responded to the scene and rushed the teenager to the hospital with severe injuries. He was later pronounced dead by hospital staff.
A bomb squad spent hours in the neighborhood conducting a post-blast investigation and removed a large amount of illegal fireworks and pyrotechnic materials from a home.
Some neighbors say they had seen the teen handling and setting off fireworks in the past.
"We see fireworks shot up in this neighborhood quite often," said community activist Najee Ali, who lives in the area.
"Where are these children getting these illegal fireworks to begin with, but it's sadness, shock and anger because this young teenager died unnecessarily," he added.
"When the Dodgers won, fireworks were all over this neighborhood," Ali said. "Certainly, when New Year's Eve is arriving, we'll see fireworks again."
Additional details about the incident were not available.
With New Year's celebrations just around the corner, MySafeLA wants to remind everyone that fireworks are illegal in the city of L.A.
Nationwide, around five people, often children, are killed by fireworks each year.
On average, 9,100 fireworks injuries send people to hospitals, according to MySafeLA.
"When Christmas comes for this family, there will be one less gift up under their tree, one empty seat at the dinner table, and it should not have had to happen here to this family in our community," said Ali.