Will Thomas' side overcame their first-half handling difficulties to sweep aside an Italian team that had beaten England in an earlier game in the tournament sponsored by Health Challenge Wales.
Despite falling behind to a first minute penalty from Italian full back David Odiete, the home side scored 20 points in the second quarter to set themselves on the road to victory.
Following wins over France Under 17 and England Schools Under 16 in the first two rounds of the tournament, Wales needed to win to take the title for a second year. Earlier in the day the French had dominated the English, winning 35-13.
The Welsh back line pacey and elusive out wide, but all too often in the first-half the final pass went to ground and chances went begging. In the end, the forwards took it upon themselves to make the hard yards sand create the vital openings.
Five of the seven tries came from Wales' outstanding back row - two each to flankers Calum Thomas and Reuben Tucker and the try of the game to No 8 Will Thomas. The Ospreys No 8 ran 40 metres for his score, mesmerising four defenders with his footwork as he made the most of a wonderful offload in the tackle by Ellis Jenkins.
It was the Welsh skipper, Calum Thomas, who set the tone for the afternoon with his non-stop performance alongside namesake Will in the back row. After Tucker had grabbed the first try of game midway through the first-half, the captain scored twice in the final 10 minutes to give Wales a 20-3 interval lead.
Tucker gave Wales a flying start to the second period with his second try six minutes after the break and then Scarlets full back Luke Treharne showed off his pace and awareness as he supported a cheeky blindside break by Blues scrum half J-B Bruzulier to score at the posts.
Treharne had converted the final try of the first-half and replacement outside half Lewis Williams took over after the break to convert all four tries. Will Thomas's wonder effort came after 62 minutes and Blues wing Matthew Roberts crowned a great tournament for the hosts with a weaving try at the death to complete the rout.
Scorers: Wales: Tries: R Tucker 2, C Thomas 2, L Treharne, W Thomas, M Roberts; Cons: L Williams 4, L Treharne; Pen: J Williams. Italy: Try: F Conforti; Con: D Odiete; Pen: D Odiete.
Wales Schools Under 16: Luke Treharne (Scarlets); Harry Robinson (Scarlets), Ciaran Driscoll (Blues), Thomas Pascoe (Blues), Matthew Roberts (Blues); Jordan Williams (Scarlets), J-B Bruzulier (Blues); Nathan Bowen (Scarlets), Jon Elley (Blues), Tom Jones (Blues), Jon Gardiner (Scarlets), Jack Jones (Ospreys), Reuben Tucker (Blues), Calum Thomas (Blues, captain), Will Thomas (Ospreys).
Replacements Used: Lewis Williams (Blues) for Jordan Williams 41; Jack Dando (Blues) for Elley 48; Matthew Screech (Blues) for Gardiner 50; Iolo Evans for Pascoe 55; Richard Bloomfield (Scarlets) for Tucker 60; Ellis Jenkins (Blues) for Calum Thomas 60; Nathan Brooks (Ospreys) for Robinson 71; Darren Harries (Blues) for Jack Jones 72; Gethin Hunter (Scarlets) for Treharne 76.
Replacements Not Used: Lee Samson (Scarlets), Lewis Jones (Blues).
FRANCE UNDER 17 35, ENGLAND SCHOOLS UNDER 16 13
Scorers: France: Tries: Paul Jedrasiak, Jean-Charles Fioinde, Clement Otazo, Bastien Tucker, Jonathan Danty; Cons: Clement Otazo 2; Pens: Clement Otazo 2. England: Try: Charlie Walker; Con: Tommy Bell; Pens: Tommy Bell 2.