German vs European

German and European both are nouns.

Word	Noun	Adjective	Verb	Adverb
German	Yes	Yes	No	No
European	Yes	Yes	No	No

As nouns, European is a hypernym of German; that is, European is a word with a broader meaning than German:

German (noun)	European (noun)
the standard German language; developed historically from West Germanic	a native or inhabitant of Europe
a person of German nationality

German (adjective)	European (adjective)
of or pertaining to or characteristic of Germany or its people or language	of or relating to or characteristic of Europe or the people of Europe