It has happened 7 times when a host country has reached the finals.
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Germany played the finals in 1982 (lost), 1986 (lost) and 1990 (won).
Argentina played West Germany in the 1986 and 1990 Soccer World Cup Finals.
Mexico (1970 and 1986) Italy (1934 and 1990) France (1938 and 1998) Germany (1974 and 2006)
West Germany defeated Argentina in the 1990 FIFA World Cup Final.
No cup..... Italy in 1990 and then USA in 1994