I want to say it was Gerhard Schroeder who said it but it doesn't seem right. Helmut Kohl is the next most likely one in my mind. Basically it might have been an admission way after the fact, maybe after the Berlin Wall fell. The phrase that sticks in my mind is that in the event of Soviet tanks flooding the Fulda Gap that "West Germany would simply surrender" rather than become the battleground of World War 3. Another phrase that sticks in my mind was that the average German felt like "NATO would defend Germany down to the last German" - IE that few other countries would care how much damage would be done in the process of blunting the Soviet Attack. Judt's Postwar and the Internet have failed me so far, do you know of any high ranking German official or Bundeswehr officer who admitted this?
I'm sorry to say, but I am at a loss here. Such sentiment might be referring to the widespread disillusionment with warfare and heroism among Germans since the end of WWII (see for example popular resistance against the re-armament in West Germany in the 1950s), or the rise of the 1980s pacifist Green movement critical of NATO and nuclear weaponry, which was arguably more successful in Germany than anywhere else. In case of war that would however not influence the decision-making of the Bundeswehr which was incorporated into NATO command structure as it is today. During the Cold War, the Bundeswehr was a large conscript force with almost half a million men that was expected to bear the brunt in the initial stages of a Warsaw Pact attack.
/Edit: I just remembered that at least the sentence you quoted "They [i.e. NATO, Allies, the US] would defend Germany down to the last German" sounds very familiar to me. I've definitely read that somewhere at least once! I've searched around too and couldn't find anything like it (perhaps it was considerably differently phrased in the original?) or who could have said this. I feel like I should actually know that. Anyone else able to help out here perhaps?