A 21-year-old man had been arrested on suspicion of causing death by dangerous driving following the collision shortly after 3am yesterday.
He has now been released on bail, West Mercia Police confirmed this morning.
The victim, a 23-year-old man from Shrewsbury who has not yet been named, died at the scene after the Vauxhall Astra he was driving collided with a lorry.
The A5 at Nesscliffe was closed between the A458 and B4396 until around 7.15pm on Monday following the serious collision.
A spokesperson for West Midlands Ambulance Service said: "One ambulance and a paramedic officer attended to a road traffic collision involving a car and a lorry at 3.08am on the A5, Nesscliffe in Shrewsbury.
"Ambulance staff found the driver of the car in a critical condition. Unfortunately, it quickly became apparent that nothing could be done to save him and he was confirmed deceased.
"The driver of the lorry was assessed and was uninjured. He received self-care advice before being discharged at the scene.”
Police are appealing for witnesses following the incident, and anyone who witnessed the collision or has any information or dash-cam footage which may help with the investigation is asked to contact Sgt Alexander Saxton on 07970864475 or Alexander.firstname.lastname@example.org quoting incident 42i of 23 January.