▁are ▁good ▁friends . ▁However , ▁a ▁new ▁f ighter ▁from ▁the ▁USS R , ▁Ivan ▁Drag o ▁( play ed ▁by ▁Dol ph ▁Lund gren ), ▁has ▁emer ged ▁and ▁challeng es ▁Rock y ▁to ▁an ▁exhibition ▁match . ▁Apol lo ▁f ights ▁instead , ▁and ▁the ▁be ating ▁he ▁takes ▁from ▁Drag o ▁ends ▁with ▁Apol lo ▁dying ▁in ▁Rock y ' s ▁arms ▁in ▁the ▁ring ▁as ▁Drag o ▁cold ly ▁watch es . ▁To ▁a ven ge ▁Apol lo , ▁Rock y ▁challeng es ▁Drag o ▁to ▁a ▁match , ▁which ▁is ▁to ▁be ▁held ▁on ▁Christmas ▁Day ▁in ▁Moscow . ▁In ▁a ▁mont age ▁re ple te ▁with ▁symbol ism , ▁Rock y ▁is ▁shown ▁training ▁in ▁a ▁remote ▁cabin ▁in ▁Si ber ia ▁with ▁the ▁help ▁of ▁Cre ed ' s ▁old ▁tra iner ▁Duke , ▁his ▁brother - in - law ▁Paul ie , ▁and ▁eventually ▁Ad rian , ▁doing ▁exer cis es ▁such ▁as ▁cho pping ▁wood , ▁lif ting ▁rocks , ▁running ▁in ▁the ▁snow ▁and ▁clim bing ▁a ▁mountain , ▁while ▁Drag o ▁is ▁seen ▁in ▁an ▁advanced ▁training ▁facility ▁running ▁on ▁t read m ills , ▁util izing ▁weight l ifting ▁machines ▁and ▁inject ing ▁ster oid s ▁to ▁boost ▁his ▁strength . ▁During ▁the ▁fight , ▁Rock y ▁takes ▁the ▁worst ▁be ating ▁of ▁his ▁life ▁but ▁ref uses ▁to ▁fall . ▁He ▁eventually ▁wins ▁over ▁the ▁foreign ▁crowd ▁with ▁his ▁display ▁of ▁courage ▁and ▁determ ination , ▁and ▁he ▁knock