Group matches were played from March to May 2007, each team playing each other at home and away. Sydney made an impressive start, defeating Shanghai away and holding Urawa to a draw at Aussie Stadium. A shock loss to Persik in Indonesia was followed up by a 3–0 win in Sydney two weeks later, but disappointing scoreless draws in the final two matches against Shanghai and Urawa meant Sydney finished second in their group and Urawa progressed to the next stage.