Washington  - Hillary Clinton's diplomatic team started taking shape on Tuesday as president-elect Barack Obama named James Steinberg and Jacob Lew as deputy secretaries of state.

Senator Clinton, Obama's erstwhile rival for the Democratic presidential nomination, is headed to become Obama's secretary of state contingent on confirmation by the Senate after the January 20 inauguration.

Obama has vowed to give higher priority to diplomacy in his administration, after eight years under President George W Bush when the Pentagon and intelligence agencies often eclipsed the secretary of state in the conduct of foreign affairs.

Clinton is expected to restore the use of high-profile special envoys to trouble spots, which fell out of practice under Bush, according to The New York Times Tuesday.

"The team that we have assembled is uniquely suited to meet the great global challenges facing us today," Obama said in a statement Tuesday. They join a strong team of leading experts and accomplished managers, and I look forward to working with them in the years ahead."

The appointment of Lew, who was budget director under Clinton's husband, former president Bill Clinton, was seen as key for the State Department in gaining more resources from Congress for the department, the Times wrote.

Obama also named Thomas Donilon to serve as deputy national security adviser, to serve under Retired Marine general James Jones who was named Obama's national security adviser last week.

Vice President-elect Joe Biden tapped Tony Blinken as his national security adviser.

As with many other of Obama's appointees, all four men served in some capacity under the Clinton administration. (dpa)