England need just a point from their final Group F game after beating Argentina 1-0 in Sapporo.
David Beckham grabbed the all important goal from the penalty spot after Michael Owen was brought down by Mauricio Pocchettino.
After the break England were forced to defend for the majority of the half with Rio Ferdinand outstanding at the back.
Juan Sebastian Veron was withdrawn at half-time and teammate Gabriel Batistuta was substituted on the hour as England continued to frustrate their bitter rivals.
But they held on to claim a memorable victory, avenging their defeat in France four years ago.
A draw against Nigeria will seal England's place in the last 16.
A brace from Celtic striker Henrik Larsson took Sweden to the top of Group F after a hard fought 2-1 win over Nigeria in Kobe.
Julius Aghahowa had put the Nigerians in front when he headed home from a Joseph Yobo cross in the 27th minute.
The lead lasted just eight minutes as Larsson levelled atching onto Freddie Ljungberg's pass before finishing superbly.
Larsson made it 2-1 from the penalty spot after he was upended in the box by Ifeanyi Udeze.
In Group B Spain beat Paraguay 3-1 in Jeonju thanks to a Fernando Morientes brace and Fernando Hierro's penalty late on.
Carles Puyol had given Paraguay an early lead when he put through his own net.
Substitute Morientes equalised after 56 minutes and 13 minutes later the Real Madrid striker added a second when he bundled home after Jose Chilavert had flapped at Francisco De Pedro's cross.
The Spaniards wrappeds things up when Hierro sent Chilavert the wrong way from the penalty spot after Raul was held back.
Comments: Our rules
We want our comments to be a lively and valuable part of our community - a place where readers can debate and engage with the most important local issues. The ability to comment on our stories is a privilege, not a right, however, and that privilege may be withdrawn if it is abused or misused.
Please report any comments that break our rules.
Read the rules hereComments are closed on this article