Using a cross-sectional study design, we tested a structural equation model of hypothesized relationships among a group of variables: motivational climate in physical education (PE), students’ social competence in PE, out of-school physical activity (PA) motivation, PA intention and their moderate-to-vigorous PA (MVPA). Based on the self-reports of 363 fourth to sixth grade elementary school students (172 girls, 191 boys), the model revealed that the task-involving motivational climate in PE was linked to higher MVPA via cooperation in PE, and also via extrinsic motivation and PA intention. Ego-involving motivational climate was related to higher extrinsic motivation and amotivation, further to higher PA intention and, finally, to higher MVPA. Task-involving motivational climate was positively linked to students’ social competence markers of cooperation and empathy, and negatively to disruptiveness. Ego-involving motivational climate was positively related to disruptiveness and impulsivity, the markers of low social competence. The study showed that the motivational climate and co-operational aspect of social competence both played significant roles in students’ PA motivation, PA intention and MVPA. A pedagogical model that brings the learning of social competence relevant skills to the fore is creative physical education (CPE). Analysis of CPE is provided which highlights teaching behaviors which contribute to the students’ MVPA through motivational climates, co-operation, PA motivation and PA intention.