Doha: Football powerhouse Japan crashed out of the Asian Games on Wednesday when they were beaten 2-1 by arch rivals North Korea while China beat Oman 2-1 in a match which saw two red cards and three penalties.

North Korea top Group F with seven points and will face South Korea in the quarter-finals.

Japan finished with six points but have an inferior goal difference and were thwarted in their hopes of making the last eight as a best runner-up.

The North Koreans were ahead as early as the fourth minute when skipper Hong Yong Jo scored from a direct free-kick but Japan were level three minutes later in bizarre fashion.

Yugo Ichiyanagi scored with a header but UAE referee Ali Albadwawi signalled for a free-kick. The official then over-ruled his own decision and awarded the goal.

The winner came when Kim Jong Jun scored with a 15-metre free-kick that sailed past keeper Kenya Matsui.

"We have to accept the fact that we lost," said Japan coach Yasharu Sorimachi. "I feel a lot of responsibility. We will have to learn from the North Koreans and their strong mentality."

North Korea coach Ri Jong Man said his team was getting better with each game.

"During our previous matches we were not 100 percent ready," he said.

"Now we are used to the ground, we prepared more and our players are in better condition. I think we can aim for the gold medal. Unexpected things may happen," he said.

Defending champions Iran ended India's unlikely hopes of making it to the last eight with a 2-0 win to top Group D.

India held out until 12 minutes from time when Jalal Akbari Kelishadi scored from a free-kick with Asash Borhani hitting the second in injury time.

China went through to the last eight with a 2-1 win against Oman.

Oman took the lead from the penalty spot in the 29th minute when China goalkeeper Wang Dalei was penalised for a foul and Ahmed Al Mukhaini slotted the ball home.

Gao Lin levelled before Fawzi Bait Doorben was sent-off for shoving Wang Dalei in the face on the stroke of half-time.

A scuffle broke out prior to the kick-off for the second half and Al Mukahini was red-carded for pushing Chen Tao to the ground.

Zheng Zie then scored a penalty to make it 2-1 but he missed a later spotkick in the 74th minute.

As well as the two red cards, nine players were booked.

China will now face holders Iran in the last eight.

Iraq went through to the last eight as a best runner-up with a 4-0 demolition of Malaysia thanks to goals from Ali Rehema, Younes Khalef (2) and Mostafa Abd Alla.

Iraq, playing in their first Asian Games for 20 years, will face Uzbekistan in the quarter-finals.

The final quarter-final will see Qatar take on Thailand.