Kennedy, the daughter of President John F. Kennedy, is currently being vetted for the position, according to CNN. According to ABC, the nomination is not yet final. She would replace current Ambassador John Roos, who has held the post since 2009.
The appointment would make the New York-based lawyer and author the first woman to hold the post in Tokyo.
Although Kennedy has largely remained outside of the political sphere, her high-profile endorsement of President Barack Obama during the 2008 Democratic presidential primaries was seen as a big boost for the then-senator over rival Hillary Clinton. Kennedy backed Obama again in 2012, delivering a speech at the Democratic National Convention in September.
In 2009, Kennedy expressed interest in running for the New York U.S. Senate seat left vacant when Clinton was confirmed as secretary of state. However, she later withdrew her name from consideration, citing "personal reasons."