Between 2010 and 2025, West Asia experienced intensifying regional instability, expanding transnational threats, and a growing interconnection between regional developments and European security, a process that also affected Germany’s security policy. This study aims to explain the transformation of Germany’s security policy in West Asia from military restraint toward limited security engagement and to examine the position of the Islamic Republic of Iran within this transformation. The main research question is how structural pressures and domestic factors have shaped the orientation of Germany’s security policy in the region and what consequences this transformation has had for Iran’s position. The study hypothesizes that structural pressures arising from security developments in West Asia have pushed Germany toward a greater security role; however, domestic variables, particularly institutional structures and strategic culture, have moderated these pressures and produced a pattern of limited security engagement. The research adopts a qualitative approach and a descriptive-analytical method, while documentary and library-based data are analyzed within the framework of neoclassical realism. The findings indicate that Germany’s policy has moved toward a more active but controlled form of security engagement, relying primarily on diplomacy, multilateralism, and non-military instruments. In this process, Iran has also evolved from being viewed mainly through the lens of nuclear non-proliferation into a multidimensional security issue linked to Israel’s security, the regional order, relations with Russia, and European security. Accordingly, the transformation of Germany’s security policy results from the simultaneous influence of structural pressures and the way these pressures are filtered and moderated by domestic variables.