Terry Branstad 'old friend of China to be US ambassador'

Lowa Governor Terry Branstad will be nominated by Donald Trump to be US ambassador to China, US media say.

Mr Branstad was seen entering Trump Tower in New York on Tuesday for talks with the president-elect.

He called Chinese President Xi Jinping a "long-time friend" when Mr Xi visited Iowa before becoming Chinese leader.

After Bloomberg first reported the nomination, which requires Senate confirmation, Beijing responded by calling Mr Branstad an "old friend".

"We welcome him to play a greater role in advancing the development of China-US relations," said Foreign Ministry spokesman Lu Kang.

However, Mr Branstad's spokesman said reports of the nomination were "premature".

Mr Trump has also reportedly tapped General John Kelly to run the Department of Homeland Security, according to US media.

Mr Kelly would be the third general Mr Trump has selected for a high-level position in his administration.