Islamic Religious Education plays an important role in shaping students’ character, morality, and understanding of religious values, particularly among younger generations. However, the use of traditional or conventional teaching models has led to low emotional engagement and suboptimal internalization of religious values. This study aimed to describe the implementation of the Value Clarification Technique (VCT) learning model in the grade XII Islamic Religious Education (PAI) subject at SMK Sunan Ampel Jombang and to identify the obstacles encountered in its use. The research employed a qualitative approach with a descriptive design, with data collected through observations, interviews, and documentation involving the principal, Islamic Religious Education teacher, and grade XII students. Data were analyzed using the interactive model of Miles and Huberman, which includes data reduction, data display, and conclusion drawing, and the validity of the findings was tested through source and technique triangulation. The results show that the implementation of the Value Clarification Technique improved students’ ease of understanding the material, their activeness in learning, and the depth of value internalization. Nevertheless, its implementation remains constrained by limited time and teacher preparation, difficulties in adaptation for some students, and mental fatigue among less active students. The study concludes that the Value Clarification Technique plays an important role in enhancing learning quality while strengthening character formation and religious values in a contextual manner. The findings imply the need to improve teachers’ competence in developing creative and reflective value-facilitation strategies and to strengthen classroom time management so that the implementation of the Value Clarification Technique can proceed more optimally and sustainably.