No, there will be a make-up exam if you fail the exam, and then there will be a chance to retake the exam after the make-up exam. You can retake the exam many times once, and finally some schools will have the opportunity to clear the exam! Therefore, you can still graduate if you fail the course.

However, don't listen to others saying that "a university that doesn't fail is incomplete", but cherish the university time! A senior's suggestion.