The top US diplomat for East Asia warned on Tuesday that Washington could respond with sanctions against Chinese officials and enterprises involved in coercion in the South China Sea after the United States announced a tougher stance to Beijing's claims there.

"Nothing is off the table ... there is room for that. This is a language the Chinese understand - demonstrative and tangible action," David Stilwell, assistant secretary of state for East Asia, told a Washington think-tank when asked if sanctions were a possible US response to Chinese actions...