‘Debacle’: Germany in shock following World Cup defeat to Paraguay.

Germany’s hopes of going far in the tournament ended at Foxborough’s Gillette Stadium in Boston with the country’s first ever defeat in a World Cup penalty shoot-out.

The seismic upset was the highlight of another day of enthralling action as the knockout rounds got into full swing, with Brazil coming from behind to score an injury-time winner in a 2-1 defeat of Japan before Morocco edged past the Netherlands 3-2 on penalties in a classic duel in Monterrey.

Orlando Gill was the hero for Paraguay in their shoot-out defeat of Germany, saving from Kai Havertz and Nick Woltemade to give them a crucial advantage.

Paraguay blew two chances to win it before Jose Canale blasted in the winning spot-kick after Germany’s Jonathan Tah blazed his effort over the bar.

Germany had never lost a penalty shoot-out at a World Cup on four previous occasions since the 1982 finals in Spain.

“Obviously, we analysed every player and every detail of the penalty-takers,” ‘keeper Gill said afterwards. “Thank God I was able to save two penalties. This is a privilege; we eliminated a champion.”

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Germany coach Julian Nagelsmann, who sat stunned on the bench after the defeat, said simply: “We didn’t do enough today.”

The match had gone to penalties after the two sides finished extra-time locked at 1-1. Tah had seen a headed goal controversially disallowed after a VAR review in extra-time.

Earlier, Julio Enciso had given Paraguay a 42nd minute lead before Arsenal forward Havertz equalised for Germany nine minutes into the second half.

Paraguay now faces either France or Sweden in the last 16, who play on Tuesday.

Shockwaves in Germany 

The defeat has sent shockwaves around football-loving Deutschland, with the media calling it a “World Cup debacle”.

However, Chancellor Friedrich Merz, of the CDU, was keen to put a positive spin on the result. 

He tweeted on X: “Even though being knocked out is a bitter blow: what a match. With your dedication and team spirit at this World Cup, you have inspired our country. We are proud of you.”

Following the defeat, Nagelsmann said he wanted to remain as head coach. He has a contract up to the 2028 European Championships but Germany’s premature exit from the World Cup will put the 38-year-old under intense scrutiny.

“I’m not someone who runs away,” he told German broadcaster ZDF. “I want to continue, but in football you don’t always have it in your own hands.

“If the DFB (federation) wants me to, then I will prepare for the European Championship and the Nations League.”

Germany’s defender Aleksandar Pavlovic and Nathaniel Brown react after losing the penalty shootout of the 2026 World Cup round of 32 football match between Germany and Paraguay. (Photo by Odd ANDERSEN / AFP)

Former Liverpool manager Jurgen Klopp, who was at the match in Foxborough working for German broadcaster MagentaTV, has long been rumoured as a future coach of the national team.

But Klopp refused to be drawn on the possibility on Monday.

“I understand that my name is being mentioned, but this is not the moment to talk about it – and especially not with me,” Klopp said.

Can the men’s national team recover?

Midfielder Nadiem Amiri said Germany still have a bright future but conceded the pain of defeat makes it hard to look too far ahead.

Several of Germany’s core players may not be around for the next World Cup in 2030, but Jamal Musiala and Florian Wirtz should be in their prime by then.

Highly-rated teenager Lennart Karl will also be back in the fold, having missed this tournament due to injury.

“We have a lot of young players, a lot of quality in the squad,” said Amiri, who came on deep into extra time and scored his penalty in the shootout.

“But at the moment to think about the future is the wrong decision and I feel for everybody. I’m very sad because it was a shocking end to the game. It’s very difficult to find the right words.”