Four-time World Cup winners Germany are out of the 2026 tournament in the round of 32, beaten 4-3 on penalties by Paraguay after a 1-1 draw in Boston. It is the first time Germany have failed to reach the last 16 since 1938, and the result has left fans and pundits asking how the expanded format works – and whether it changes the traditional power balance of football's biggest competition.
The 2026 World Cup is the first to feature 48 teams, up from 32 in previous editions. The expanded field means the knockout stage begins with a round of 32, rather than the round of 16 used in the 32-team era. Germany, ranked 22 places above Paraguay in the FIFA World Rankings, were considered strong favourites but were undone after extra time and a penalty shootout. Paraguay's Julio Enciso, formerly of Brighton and Ipswich, opened the scoring in the first half, before Arsenal's Kai Havertz equalised for Germany after the break. The match ended 1-1 and went straight to penalties, where Paraguay held their nerve.
“Why Germany lost to Paraguay on penalties in the World Cup's new round of 32.”
The introduction of the round of 32 was intended to give more nations a chance to experience knockout football, but it also raises the risk of early exits for traditional giants. Germany's elimination echoes the Netherlands' penalty shootout exit in the same round, according to reports. The format means that a single slip-up can be punished more ruthlessly, as there is no group stage cushion to recover from a bad result.
For UK readers, the changes have direct implications. English Premier League stars like Kai Havertz and former Brighton forward Julio Enciso played key roles in the match. The tournament also features several British-connected players and clubs, and the round of 32 increases the likelihood of early upsets involving teams with Premier League talent. The controversy in the Germany-Paraguay match – a disallowed extra-time goal for Germany after a VAR review for a foul on the goalkeeper – has also sparked debate about set-piece tactics, with Jurgen Klopp claiming Arsenal "scored 60% of their goals that way" en route to the Premier League title. Arsenal set a record for most goals from corners in a single Premier League season (19) in 2025/26, highlighting how set-piece play has become a decisive factor in modern football.
Q: What is the round of 32 in the World Cup? The round of 32 is the first knockout stage of the expanded 48-team World Cup, introduced in 2026. The top two teams from each of the 16 groups advance to a single-elimination round, with the winners moving to the round of 16.
Q: How do penalty shootouts work in the World Cup? If a knockout match is level after extra time, a penalty shootout decides the winner. Each team takes five penalties alternately; if still tied, sudden death continues. Germany lost 4-3 to Paraguay in the shootout after a 1-1 draw.
Q: Why was Germany's disallowed goal controversial? In extra time, Jonathan Tah scored from a corner but the goal was ruled out by VAR because Waldemar Anton was judged to have fouled Paraguay goalkeeper Orlando Gill. Jurgen Klopp argued that similar goals are allowed in the Premier League, referencing Arsenal's set-piece success.
What happens next? Paraguay advance to the round of 16, where they will face the winner of France vs Sweden. The match is scheduled for later in the tournament. Germany's exit means Julian Nagelsmann's side must wait four more years for another chance at World Cup glory.