Mexico and Sweden managed to advance to the Round of 16, after collecting 6 points each.
While South Korea's World Cup run is over, the team still pulled off the biggest upset of the tournament so far to eliminate the reigning champions.
Germany were stunned 1-0 in their opening World Cup 2018 game against Mexico and appeared to be heading out as they trailed Sweden in their next group game. Back in Mexico, the South Korea consul general celebrated his country's bittersweet victory with some fans outside the embassy.
TRT World 's Paul Scott brings the latest updates from Kaliningrad in Russian Federation.
It was the first time Germany has been knocked out in the first round since 1938, though the team was not allowed to enter the 1950 tournament.
After failing to find a way past superb Korea 'keeper Jo Hyeonwoo in the second half, Germany could only look on in shock as U.S. referee Mark Geiger called for the video assistant referee to intervene after the unmarked Kim Younggwon had bundled his shot past Neuer from a corner early in stoppage time.
A long punt upfield saw Tottenham forward Son chase a clearance to fire into an empty net.
Besides Germany this year, France in 2002, Italy in 2010 and Spain in 2014 also got eliminated in the group stage as defending champions.
With Sweden winning 3-0 against Mexico in the other Group F game, and it being goalless in Kazan, Germany knew they had to score in a frantic finish.
The result meant both nations exited the World Cup as Sweden and Mexico progressed to the last 16.
South Korea's Kim Young-gwon scores their first goal against Germany in Kazan on Wednesday.
Groups of Mexicans were still chanting "Korea, Korea", as they left the arena.
Germany lost on Wednesday despite dominating in possession - 69 percent to 31 percent - and leading South Korea in shots on goal.
"We were playing for the Korean people", said Cho, a cult figure at home for his orange bouffant. "It was the best thing, we just passed to the next round, and the World Cup champion is out".
Loew was appointed national team coach after the 2006 World Cup in Germany, when he was assistant to Juergen Klinsmann.
"We need to analyse this and it has to be said very clearly that we just do not deserve it".
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