Spain fought back to survive on penalties against Colombia in the quarter-finals but their perfect Olympic run and hopes of a gold medal were shattered when they crashed out 4-2 to Brazil in the semi-finals in Marseille.
Despite missing out on the final, Montse Tome's side could end their maiden Olympic campaign on a high by reaching the podium.
"When you lose, the most important thing is to learn," Spain midfielder and Ballon d'Or winner Aitana Bonmati said after Tuesday's defeat.
"Obviously, we wanted the gold, but we have the opportunity to go for bronze and we're going to go 100 per cent for it."
Spain will have to beat 2016 champions Germany, a team they had never overcome at senior level.
Germany could not avenge their group stage defeat by the United States and lost again to the four-time champions in extra time at Lyon Stadium. They will now look for a fourth Olympic bronze.
The Germans will have additional motivation to prevail over the Spaniards and help their 73-year-old coach Horst Hrubesch clinch a medal in his final game at the helm.
"We definitely want to get a medal, then we can go to Paris for the closing ceremony in good spirits and just enjoy it." forward Klara Buhl said.
It will be the eighth meeting between Spain and Germany, with the most recent being at the 2022 European Championship where La Roja lost 2-0.