U.S. Weighs Limited Options to Punish China Over Hong Kong

WASHINGTON—As U.S. officials weigh sanctioning China in excess of its latest moves in Hong Kong, the city’s status as a global fiscal heart restrictions the menu of successful levers out there to Washington.

Significant actions from Hong Kong’s fiscal system chance hitting U.S., Western and Hong Kong businesses and customers, officials and analysts say. Additional qualified sanctions from Chinese officials and trade measures from solutions created in Hong Kong would have little impact on Beijing’s integration of the town into the mainland’s…