The Iranian representative lost to his Korean opponent in Kyo-don 21-10 at over-80kg at the Russian capital's Dynamo Sports Palace, TehranTimes reported.
He needed a gold medal to secure his place at the 2020 Olympic Games.
Arman Hadipour at under-58kg and Mirhashem Hosseini at under-68kg secured their berths by reaching the semifinals.
Taekwondo first became a full Olympic medal sport at Sydney 2000.
MNA/TT