Luffy will be superior to any nails that Hawkins can throw at him. Especially now with the advanced CoA. Hawkins may be hax in his powers but Luffy is too skillful to lose. Sure Luffy don't like killing and thus he doesn't use stronger attacks unless he needs to or unless the percieved threat is great enough.
Again, he doesn't seem to kill. But in shonen a lot of times they use kill and knocked out in symmetry. I believe Hawkin's powers doesn't require him to die to use up a doll, but rather how many times he is rendered unconcious as well as up to if not including death but being KOed is enough.
There can be one of three possible situations I can see.
1. Luffy fights Hawkins. Luffy doesn't really get his hocus pocus and laughs at him. Hawkins gets annoyed and attacks...Luffy dodges and uses gatling something and takes out all his lives at once (lol) and boom he is down. Luffy wins, oblivious of the other people he hurt. Cmon tons of casualties have occured because of Luffy's obliviousness so this is quite possible.
2. Luffy learns of Hawkin's powers and do not want any of his crew or whoever else to get hurt, he uses some of his skills to get them to safety and fights Hawkins after taking damage from saving the innocently bounded "dolls" first. In my mind I see him just grabbing people and throwing them out of Hawkins' spell's range, baka Luffy style.
3. Luffy runs away because of whatever reason. Like the first time they met.
Notice in none of the scenarios, Luffy loses. I just don't see it. Luffy can and will tank anything Hawkins throws at him, even death threats linking his nakamas to the dolls lol. Seriously, I lean more towards scenario 1 where Luffy doesn't understand and just kicks his ass like normal lol.
Hawkins: Wait! Don't you get it? Law will be really hurt if you hit me again!
Luffy: What? Where is Law? ??? I don't see him...*launches another hit at Hawkin's face*
Actually I think Sanji AND Zoro can do the same at this point. Sure Zoro got hurt. So what? These 3 gets hurt All the time. Sanji got kind of fucked up by judge and after that all he got was some bandages from his sister. The point is these guys gets hurt on the regular that scene wasn't a big deal to me. Hawkins just need to be figured out and once his mystery is gone, he probably has a weaker physical being.