Cabello fuelled the romance rumours by splitting from boyfriend Matthew Hussey last month as the steamy video for "Senorita" was released, but the Canadian singer insists he and the "Havana" hitmaker are just friends.
In a video posted by Pop Crave on Twitter on Saturday, July 06, Mendes shakes his head after a fan asks him if he and Camila, who at 22 is two years older than the pop star, are dating.
He is then asked if he'd consider going on a date with the person who asked the question, and responds, "That was the best set-up. I won't. I don't know you, that's why. I need to get to know you first."
Mendes and Cabello spent America's Independence Day holiday together and were spotted holding hands at the Red White and Bootsy July 4th party at Nobu in Hollywood.
Cabello also gushed about Mendes on Instagram as she watched him perform in Los Angeles on Friday.
"@shawnmendes you couldn't be more amazing. Wow," she wrote, adding a red heart emoji.
Camila, who was spotted seated on one of the upper levels at the stadium, also posted: "You're unreal. @shawnmendes."
Mendes' Friday night show at the Staples Center was hit by an earthquake as a 7.1 roller, which originated 150 miles away, hit the venue.
Fans were moved from an area in front of the stage to avoid possible injuries from swaying equipment, according to E! News.