"Suleiman Hilal al-Assad has been arrested and transferred to the appropriate authorities," SANA reported, without adding details.
The Syrian Observatory for Human Rights monitoring group, citing local sources, said he was detained on the road between Latakia and Qardaha, President Bashar al-Assad's ancestral village.
Suleiman al-Assad, a first cousin once removed of the president, is accused of shooting dead air force Colonel Hassan al-Sheikh in an apparent road rage incident on Thursday evening.
Both Sheikh and his alleged killer are Alawites, and the incident caused tensions in Latakia's provincial capital, where more than 1,000 people Saturday protested the murder demanding justice.
Earlier Monday, Syrian daily Al-Watan quoted Sheikh's relatives as saying the president had pledged the crime would not go unpunished.
Sheikh's wife Mayssa Ghanem told the paper, which is close to the government, that she had "received a promise from President Assad to punish the perpetrator, whoever he is."
"I have confidence in the word of the president, who is personally taking charge. We will get our rights."
Suleiman al-Assad killed Sheikh after the colonel reportedly overtook him at a crossroads in Latakia.
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