Season 3 episode 8 of The Diplomat is where quiet decisions become the most dangerous ones. Starting off around a single gathering at Chequers, the finale trades explosions for conversations that redraw alliances and permanently fracture trust.
At the center of it all is Kate Wyler, forced to reckon with how diplomacy, marriage, and loyalty collapse when the truth arrives too late. Here's what happens in the eighth and final episode of The Diplomat Season 3, and where it leaves Kate.
What happens in the finale of The Diplomat Season 3?

Season 3 episode 8 of The Diplomat opens with President Grace Penn flying to London to apologize in person to Prime Minister Nicol Trowbridge and warn him about a nuclear crisis off the British coast. She reveals a disabled Russian submarine carrying the Poseidon doomsday weapon. Trowbridge listens, says nothing, and walks out.
Later, things escalate during a game of Chequers, as a tense state dinner brings together the Penns, Wylers, Trowbridges, Dennisons, and Callum Ellis. Kate and Hal appear married on the outside, while battling their own problems on the inside. On the other hand Austin arrives married to Thema. With Trowbridge's skepticism about the threat, Penn authorizes US drones to photograph the sub. The proof convinces Trowbridge the threat is real, but refuses to give the U.S. any authority over it.
With Trowbridge refusing to cooperate, Kate starts running out of options. The only remaining leverage she has is Callum Ellis. Callum’s intelligence sources were the first to flag the submarine and the Poseidon weapon, and Kate asks him to go directly to Trowbridge and confirm that the Russians themselves were searching for it.
Callum understands the risk instantly. If Trowbridge learns that Callum fed this information to Americans before his own government, his career is over. His sources could be exposed or killed. Before answering, Callum asks Kate a pointed question: Is this Hal’s idea? Kate says no.

Dinner that night is painfully stiff. Everyone performs civility like it is muscle memory. Eventually, Callum pulls Kate aside and agrees to help. He will speak to Trowbridge and confirm the reality of the threat. Kate promises to protect him and his source. It is a promise she wants to believe she can keep.
On the other hand, Hal is furious when he finds out. He does not think sacrificing Callum is necessary or fair and assumes Kate has been emotionally swayed by Callum’s willingness to risk himself for her. Kate realizes Hal thinks the idea came from him, not her, and the misunderstanding exposes how badly aligned they still are.
A different plan emerges. Kate and Hal propose that the US send a submarine from German waters to photograph the Russian sub up close. It would give undeniable proof without forcing Callum into the open. The cost is enormous. It would mean crossing into British waters without consent. Penn acknowledges that this could be seen as an act of war, then approves it anyway.
In the middle of the chaos, Kate and Austin Dennison finally talk. Austin speaks openly about marriage, patience, and grief. He talks about his first wife’s suicide and the way loss reshapes everything that follows. He tells Kate to be patient with herself and with Hal. He still believes in their marriage, but Kate does not correct him.

The American submarine gets the images and Penn presents them to Trowbridge, admitting the risk she took and framing it as a gesture of trust. Trowbridge accepts that the Poseidon threat is real but draws a firm line: He will not allow the United States to retrieve or control the weapon.
Now this is where Kate steps in. She suggests a third option, to bury the submarine and the weapon on the ocean floor so no country gets the weapon, no one wins, and everyone survives. Trowbridge agrees and the immediate nuclear threat appears neutralized. The delegations prepare to leave Chequers believing the worst has been avoided.
But in a quiet room, stripped of protocol and staff, Kate breaks down. She begs Hal to take her back as his wife and asks to return with him to the United States. Hal agrees without hesitation, and for a brief, dangerous moment, everything seems repaired.
The missing weapon and the moment everything collapses

Just as everyone prepares to depart, Callum finds Kate again. He tells her that radiation levels around the Russian submarine have dropped dramatically. The only explanation is that the Poseidon weapon is no longer aboard.
Kate’s first thought is Russia. Then the timing starts to bother her. The drop coincides too neatly with American activity. She remembers the drones. The submarine. The way Hal never seemed worried about Trowbridge’s refusal, the way her own suggestion solved everything a little too cleanly.
Kate tells Hal what Callum discovered. Hal steps away and speaks quietly with Grace Penn. Watching them together, Kate finally understands the situation. The Poseidon was never meant to stay buried, as Penn and Hal ordered its recovery before the meeting with Trowbridge ever happened. The drone mission was not just for photographs, it was for extraction. Kate’s concrete solution gave them the perfect cover story.

Kate confronts Hal and he does not deny it. The United States now possesses a Russian nuclear doomsday weapon while Britain believes the threat has been neutralized. Russia will assume the UK took it. The move risks turning an ally into a target.
Hal immediately tells Penn that Kate knows. Penn’s alarm is controlled but unmistakable. Todd watches his wife and Hal pose for photos, their professional closeness now unmistakable. They have something more dangerous between them than an affair: A willingness to make catastrophic decisions together.
Kate watches it all from the side, finally seeing the full picture. The betrayal is not personal, it is structural. Her marriage, her mission, her alliance; all compromised by the same secret.
The finale of The Diplomat ends with the quiet realization that Poseidon is gone, the lie is locked in place, and the fallout has only just begun.
The Diplomat is available to stream on Netflix.