Rockets hit two vehicles belonging to the PMF, a PMF source and an Iraqi security source told CNN. 

The Pentagon said he was killed at the 'direction' of the 'President'.

"At the direction of the President, the U.S. military has taken decisive defensive action to protect U.S. personnel abroad by killing Qasem Soleimani, the head of the Iranian Revolutionary Guard Corps-Quds Force, a U.S.-designated Foreign Terrorist Organization," Pentagon said in a statement.

"General Soleimani was actively developing plans to attack American diplomats and service members in Iraq and throughout the region. General Soleimani and his Quds Force were responsible for the deaths of hundreds of American and coalition service members and the wounding of thousands more," the statement said.

"He had orchestrated attacks on coalition bases in Iraq over the last several months – including the attack on December 27th – culminating in the death and wounding of additional American and Iraqi personnel. General Soleimani also approved the attacks on the U.S. Embassy in Baghdad that took place this week," it said.

" This strike was aimed at deterring future Iranian attack plans. The United States will continue to take all necessary action to protect our people and our interests wherever they are around the world," it said.

American President Donald Trump tweeted image of the American flag following the incident.

Qasem was an Iranian Major general in the Islamic Revolutionary Guard Corps (IRGC) and since 1998 commander of its Quds Force—a division primarily responsible for extraterritorial military and clandestine operations. 

Soleimani began his military career in the beginning of the Iran–Iraq War of the 1980s, during which he commanded the 41st Division.