The men were preparing an explosives-laden vehicle for a suicide attack when the explosion occurred in Mirali area of the tribal district, media reports quoted security sources as saying.
All four men were killed instantly. Commander Saifuddin, believed to be the chief of the Taliban in Bannu region, was killed in the blast. Taliban militants confirmed his death.
The explosion injured five persons, security sources said.
However, one Taliban militant claimed the blast was caused by a suicide attack, Dawn reported. He said Saifuddin was travelling in his vehicle when it was attacked near Mirali, killing him and three other militants.
North Waziristan is one of seven semi-autonomous regions in Pakistan's Federally Administered Tribal Areas. The region is considered a safe haven for Taliban and Al Qaeda elements.