Team Melli failed to reach the semi-finals by accepting defeat against Bahrain.
Previously, Iran’s national squad fell short against Kuwait 24-22 in the sporting event.
Iran will play South Korea in Group I on Sunday.
Iran's handball team won a bronze medal in the 2006 Asian Games in Doha and claimed the silver four years later in Guangzhou.
With more than 12,000 competitors from 45 nations and territories, the 2022 Asian Games has more participants than the Olympics.
Iran has sent 289 male and female athletes to the Games in 34 sports events.
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