Cavalryman was a disappointment in Germany as last year's Arc third could only occupy the same position behind Night Magic in the Group One Grosser Mercedes-Benz Preis Von Baden.
Settled in third in the early stages as Northern Glory cut out the running, Frankie Dettori's mount was forced wide on the turn for home but still held every chance in the straight.
However, the field had no answer when Night Magic came flashing down the stands side.
Quijano stayed on for second, with Cavalryman just edging Northern Glory for third. Michael Bell's Allied Powers was hampered in the straight as he attempted to challenge from the rear and finished fifth.
Racing manager Simon Crisford told www.godolphin.com: "Cavalryman is running inconsistently this season and today was another inconsistent performance. We will take him back home and discuss the way forward because it was a disappointing effort."
Ladbrokes pushed Cavalryman out to 33-1 for this year's Arc.
