Wolfsburg needed to beat the Blues by more than two goals to progress through to the quarter-finals of the competition while Chelsea needed only to avoid defeat for qualification.
The German side enjoyed possession in the early stages and looked threatening in wide areas, an effort which would later be crowned through Huth in the 16th minute after Musovic saved the initial shot but Huth was in place for rebound.
Just seven minutes later, Wassmuth threaded the ball to Felicitas Rauch, the forward sent in a low cross and Huth was on hand to tap the ball in for brace.
Six minutes before the interval Wolfsburg had a chance to make it three through Shanice van de Sanden. Rauch flicked the ball on for van de Sanden in the box but Musovic managed to parry the ball away
The Blues’ hopes of qualifying to the quarter-final took a turn for the worse when Wassmuth scored Wolfsburg’s third, and grabbed her second to sealed the defeat with just over 10 minutes to go.
A disappointing evening in Germany that ends the journey of Chelsea in the Champions League..