China's Yang triumphs on parallel bars
Yang put in a brilliant swinging routine incorporating a number of impressive handstands to earn 16.075.
Japan's Hiroyuki Tomita and South Korea's Yoo Won-chul were declared joint silver medallists and trailed Yang by just 0.125 points.
Yang picked up his third gold in Aarhus after his success in the men's team final and victory over Tomita in the all-round.
Backed by a noisy Chinese contingent, the steely-eyed Yang mounted the bars and put in a near flawless performance.
Having completed his display with a solid dismount he cracked a broad grin and held aloft his index finger as if to say "That's why I'm number one".
Last year's all-round winner Tomita went into the final looking to end Japan's gold-medal drought here. His performance proved to be popular with the fans but the judging panel disagreed.
After nailing a double piked dismount, he punched the air in delight but the smile was wiped off his face as soon as his score of 15.950 was declared.
Korea's Yang Tae-young, who was controversially denied the all-round crown at the 2004 Athens Olympics due to a judging error on the bars, had been the top qualifier for the event but was upstaged by his lesser-known compatriot and finished sixth.
Yoo picked up an unexpected silver as the adjudicators awarded him an identical score to Tomita.
Although Greece's Vasileios Tsolakidis appeared to have displayed a more dynamic routine than the silver medalists, he finished fourth.