Step 1: The characteristic strength of concrete is defined as the strength below which not more than 5\% of the specimens are expected to fail. In other words, 95\% of the specimens should have a strength of at least 30 MPa.
Step 2: Given that a total of 40 specimens are tested, the minimum number of specimens that must have at least 30 MPa strength can be calculated as:
\[
0.95 \times 40 = 38
\]
Step 3: Thus, at least 38 specimens should meet the required strength criteria to satisfy the definition of characteristic strength.
Conclusion: The correct answer is option (C) 38.