In-form India, who were Group A toppers with an unbeaten record, failed to find the bearings at the last four match.
They dominated for most part of the match but failed to convert the chances that came their way.
As is often happened in Indian hockey team, the opponents scored from the few chances they got and Pakistan were 3-1 up at the end of half time.
The match was the usual classic exhibition of hockey artistry which is the case when the two sides clash but that was of no use for India.
India now face Argentina for the third-place play-off.