While the White House is already finalizing curbs on US investment in China, including in certain tech sectors, cutting off the supply of US dollars could limit financing of the development of advanced military technologies, the report noted.
The Treasury has been in talks with other governments, including the European Union, to get them on board, so that they would not provide replacement financing, according to the newspaper.
Public revelations last week about an alleged Chinese surveillance balloon program added fuel to US concerns about China’s growing military capabilities.