Yes. Algorithmically speaking, use conceptually nested worlds.
Here's some pseudo code for this. You'll need to fill in details like setting the bodies to be dynamic and what there densities should be. But hopefully the code shows a way to get this done:
extern void render(b2World& world, b2Vec2 position);
b2World world(b2Vec2(0, 0));
b2World subWorld(b2Vec2(0, 0));
b2BodyDef bodyDef;
// Create body outside of "parent".
bodyDef.position = b2Vec2(-15, 14);
b2Body* otherBody = world.CreateBody(&bodyDef);
// Setup "parent" body.
b2Body* parentBody = world.CreateBody(&bodyDef);
b2Vec2 vertices[] = { b2Vec2(10, 10), b2Vec2(-10, 10), b2Vec2(-10, -10), b2Vec2(10, -10) };
b2PolygonShape parentShape;
parentShape.Set(vertices, 4);
b2FixtureDef parentFixtureDef;
parentFixtureDef.shape = &parentShape;
parentBody->CreateFixture(&parentFixtureDef);
// Setup container for bodies "within" parent body...
b2BodyDef childBodyDef;
// set childWorldBody to being static body (all others dynamic)
b2Body* childWorldBody = subWorld.CreateBody(&childBodyDef);
b2ChainShape containerShape;
containerShape.CreateLoop(vertices, 4);
b2FixtureDef childContainerFixture;
childContainerFixture.shape = &containerShape;
childWorldBody->CreateFixture(&childContainerFixture);
// First example of creating child body "within" the parent body...
childBodyDef.position = b2Vec2(0, 0); // Inside child world and with childContainerShape.
b2Body* bodyInChild = subWorld.CreateBody(&childBodyDef);
// Call subWorld.CreateBody for all the bodies in the child world.
// Always create those child bodies within the bounds of vertices.
for (;;)
{
world.Step(0.1, 8, 3);
subWorld.Step(0.1, 8, 3);
render(world, b2Vec2(0, 0));
render(subWorld, parentBody->GetPosition());
}