The Iranian outfit lost to hosts Brazil 4-1 at the Arena Amadeu Teixeira in Manus, Brazil. Russia beat Argentina 3-2 in the other semifinal match.
Iran had already defeated Belgium (4-2), the U.S. (8-0), Uruguay (3-1) and Guatemala (4-2) in the competition.
On Sunday, Brazil will play Russia in the final game while Iran face Argentina in the bronze medal match.
The Grand Prix de Futsal is an international futsal competition of the same kind as the FIFA Futsal World Cup but with invited nations and held annually in Brazil. It was first held in 2005.
