BFMTV said the man was known to police for previous non- terror crimes.
The AFP news agency cited a French police source who said the auto "deliberately" rammed a group of three students - two of whom were badly injured, and one who was not as seriously hurt.
The 28-year-old driver, who was arrested immediately afterwards in the city's Blagnac suburb, "purposefully hit three people", and had been planning the attack for a month, Toulouse prosecutor Pierre-Yves Couilleau told news channel BFM TV.
The Mayor of Toulouse, Jean-Luc Moudenc took to Twitter and said: "Very shocked by the aggression against the students in Blagnac".
A driver was arrested after the collision, and the Toulouse prosecutor has been called to investigate, the ministry said.More news: Disney wants to undercut Netflix's price ahead of 2019's streaming war
Authorities say the victims were rushed to nearby hospitals, but none of them are suffering from life threatening injuries.
The suspect tried to flee the scene but police stopped him.
The injured were Chinese students, including two who were seriously hurt in the incident.
He said he wanted revenge, but did not specify what for.
"We thought about an accident because when we got off the campus there were a lot of police cars on the ground".
The college campus comprises of several postgraduate courses including journalism, computer science, real estate and business.