On Sunday, a first half strike by Dominic Calvert-Lewin ensured the Young Lions emerged victorious although their Freddie Woodman made a 74th minute penalty save.
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England Under-20 manager Paul Simpson, told Sky Sports News: "What a weekend it's been for our national teams with the other Under-20 side winning the Toulon Tournament and now we have capped it off with winning the World Cup".
"I was knackered from the celebration, but honestly, words can't describe it all".
England forward Dominic Solanke, who will join Liverpool from Chelsea on July 1, was awarded the Golden Ball as player of the tournament, while Woodman secured the Golden Glove, the best goalkeeper of the tournament.
"Congratulations @England u20's! incredible achievement to be world champions!" tweeted the Premier League's top scorer.
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The South Americans, playing bright and positive football, went close to an opener in the 24th minute when a thundering 35-metre free kick from Ronaldo Lucena crashed against the woodwork.
Everton striker Dominic Calvert-Lewin notched the only goal of an absorbing contest 10 minutes before the interval.
The striker rose to beat Nahuel Ferraresi to high ball on the edge of the box and as the ball dropped his right-foot shot was parried by Farinez.
Impressive Newcastle United goalkeeper Freddie Woodman, godson of Three Lions boss Gareth Southgate, later produced a superb save to deny Watford's Adalberto Penaranda from 12 yards after Jake Clarke-Salter had fouled the tricky Malaga loanee and Bjorn Kuipers' penalty decision was supported by the video assistant referee (VAR).
After the break, Woodman did well to come off his line and foil Sergio Cordova after a superb pass from substitute Yeferson Soteldo. England then had a chance to double its lead in the 55th minute when Josh Onomah's shot from well outside the area hit the crossbar.
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