Germany have suffered the first major upset of the 2026 World Cup after being knocked out by Paraguay on penalties.
After Kai Havertz responded to Julio Enciso's opener, Germany had a Jonathan Tah header controversially ruled out by VAR in extra-time.
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Paraguay went on to prevail in the penalty shootout, with Arsenal man Havertz, Tah and Newcastle's Nick Woltemade missing crucial spot-kicks.
Paraguay only had 25% of possession but created just as many dangerous chances as Germany, two.
The South American side led at half-time as Enciso's header punished Germany's sluggish display at both ends of the park.
After the break, Julian Nagelsmann side showed more urgency as Havertz flicked a Florian Wirtz cross past Orlando Gil in the Paraguay goal.
Neither side could break the deadlock thereafter, albeit Germany came closest with Tah.
During extra-time, the defender thought he had won it with a powerful back post header off a corner.
However, Waldemar Anton was adjudged to have fouled 'keeper Gil as the corner came into the box, prompting VAR to ask for a second look.
After heading to the pitch-side monitor, the referee decided to rule out the goal.
Paraguay then finished stronger in the penalty shootout, defender José Canale striking the winning kick after a heroic display in normal time.
This was the first time in World Cup history Germany have lost a penalty shootout.
With Enciso's header, Paraguay secured their first goal in World Cup knockouts.
Paraguay will next play the winner of France's clash with Sweden in Philadelphia on July 4.
