The MP-40 is the German equivalent of your Thompson SMG. It has a high rate of fire, and has a clip with 32 rounds of ammo. Very deadly in the right hands, and will become even deadlier later in the game. Germans who use this weapon have lot higher chances of pinning your men inside bunkers, which makes this weapon even more dangerous.
When a sabotage operation fails, your Frenchie will be executed with an MP-40.