Kraut vs German

Kraut and German both are nouns.

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

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

Kraut (noun)	German (noun)
offensive term for a person of German descent	the standard German language; developed historically from West Germanic
	a person of German nationality

Kraut (adjective)	German (adjective)
	of or pertaining to or characteristic of Germany or its people or language