This book chapter shows how the amount of freight movement, and its related environmental impacts, are the result of interaction between four levels of logistical decision-making affecting logistics structure, the pattern of trading links, the scheduling of product flow and the management of transport resources. It also uses available data to analyse the sensitivity of the growth of lorry traffic to the imposition of environmental taxes. The modelling suggested that in the UK, for most products, even large increases in transport costs would be unlikely to force a return to more decentralised, less transport-intensive logistics. The chapter concludes by examining the potential reductions in truck-kms that might be achieved by a series logistical rationalisation measures. 

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