diff --git a/cmd/container-use/follow.go b/cmd/container-use/follow.go
new file mode 100644
index 00000000..d295c022
--- /dev/null
+++ b/cmd/container-use/follow.go
@@ -0,0 +1,197 @@
+package main
+
+import (
+	"context"
+	"fmt"
+	"log/slog"
+	"os"
+	"os/signal"
+	"path/filepath"
+	"strings"
+	"syscall"
+	"time"
+
+	"github.com/dagger/container-use/repository"
+	"github.com/fsnotify/fsnotify"
+	"github.com/spf13/cobra"
+)
+
+var followCmd = &cobra.Command{
+	Use:   "follow <env>",
+	Short: "Checkout environment and continuously pull changes",
+	Long: `Checkout an environment's branch locally and continuously pull changes from the remote.
+This command first performs a checkout operation, then continuously monitors for
+changes in the environment's remote branch and pulls them automatically.
+
+Uses file system watching on the git refs directory for near-immediate response
+when the environment is updated. Falls back to periodic polling for reliability.
+Press Ctrl+C to stop following.`,
+	Args:              cobra.ExactArgs(1),
+	ValidArgsFunction: suggestEnvironments,
+	Example: `# Follow environment changes
+container-use follow fancy-mallard
+
+# Follow with custom branch name
+container-use follow fancy-mallard -b my-review-branch
+
+# Follow with custom fallback interval
+container-use follow fancy-mallard --fallback-interval 30s`,
+	RunE: func(app *cobra.Command, args []string) error {
+		ctx := app.Context()
+		envID := args[0]
+
+		repo, err := repository.Open(ctx, ".")
+		if err != nil {
+			return err
+		}
+
+		branchName, err := app.Flags().GetString("branch")
+		if err != nil {
+			return err
+		}
+
+		fallbackInterval, err := app.Flags().GetDuration("fallback-interval")
+		if err != nil {
+			return err
+		}
+
+		// First, perform the checkout
+		branch, err := repo.Checkout(ctx, envID, branchName)
+		if err != nil {
+			return err
+		}
+
+		slog.Info("switched to branch", "branch", branch)
+		slog.Info("following environment for changes", "env-id", envID, "fallback-interval", fallbackInterval)
+		slog.Info("press Ctrl+C to stop following")
+
+		// Set up signal handling for graceful shutdown
+		sigCh := make(chan os.Signal, 1)
+		signal.Notify(sigCh, syscall.SIGINT, syscall.SIGTERM)
+
+		// Start following with file watching
+		return followWithFileWatching(ctx, repo, envID, fallbackInterval, sigCh)
+	},
+}
+
+func followWithFileWatching(ctx context.Context, repo *repository.Repository, envID string, fallbackInterval time.Duration, sigCh chan os.Signal) error {
+	// Create file watcher
+	watcher, err := fsnotify.NewWatcher()
+	if err != nil {
+		slog.Warn("failed to create file watcher, falling back to polling", "error", err)
+		return followWithPolling(ctx, repo, envID, fallbackInterval, sigCh)
+	}
+	defer watcher.Close()
+
+	// Path to the remote ref file and its parent directory
+	refPath := filepath.Join(repo.SourcePath(), ".git", "refs", "remotes", "container-use", envID)
+	refDir := filepath.Dir(refPath)
+
+	// Watch the ref directory to catch atomic writes
+	err = watcher.Add(refDir)
+	if err != nil {
+		slog.Warn("failed to watch ref directory, falling back to polling", "ref-dir", refDir, "error", err)
+		return followWithPolling(ctx, repo, envID, fallbackInterval, sigCh)
+	}
+
+	slog.Debug("starting file watcher for environment", "env-id", envID, "ref-path", refPath)
+
+	// Fallback ticker in case file watching misses something
+	fallbackTicker := time.NewTicker(fallbackInterval)
+	defer fallbackTicker.Stop()
+
+	for {
+		select {
+		case <-ctx.Done():
+			return ctx.Err()
+		case <-sigCh:
+			slog.Info("stopping follow")
+			return nil
+		case event := <-watcher.Events:
+			slog.Debug("file event received", "op", event.Op, "name", event.Name)
+			// Check if the event is for our specific ref file
+			if event.Name == refPath {
+				slog.Debug("triggering pull for ref file event", "op", event.Op)
+				if err := pullChanges(ctx, repo, envID); err != nil {
+					slog.Error("failed to pull changes", "error", err)
+				}
+			} else {
+				slog.Debug("ignoring event on unrelated file", "name", event.Name)
+			}
+		case err := <-watcher.Errors:
+			slog.Error("file watcher error", "error", err)
+		case <-fallbackTicker.C:
+			slog.Debug("fallback check triggered")
+			// Fallback check in case file watching missed something
+			if err := pullChanges(ctx, repo, envID); err != nil {
+				slog.Error("failed to pull changes during fallback", "error", err)
+			}
+		}
+	}
+}
+
+func followWithPolling(ctx context.Context, repo *repository.Repository, envID string, interval time.Duration, sigCh chan os.Signal) error {
+	ticker := time.NewTicker(interval)
+	defer ticker.Stop()
+
+	for {
+		select {
+		case <-ctx.Done():
+			return ctx.Err()
+		case <-sigCh:
+			slog.Info("stopping follow")
+			return nil
+		case <-ticker.C:
+			if err := pullChanges(ctx, repo, envID); err != nil {
+				slog.Error("failed to pull changes", "error", err)
+			}
+		}
+	}
+}
+
+func pullChanges(ctx context.Context, repo *repository.Repository, envID string) error {
+	slog.Debug("fetching changes from remote", "env-id", envID)
+	// First, fetch the latest changes from the container-use remote
+	_, err := repository.RunGitCommand(ctx, repo.SourcePath(), "fetch", "container-use", envID)
+	if err != nil {
+		return fmt.Errorf("failed to fetch changes: %w", err)
+	}
+	slog.Debug("fetch completed successfully")
+
+	// Check if there are any new changes to pull
+	remoteRef := fmt.Sprintf("container-use/%s", envID)
+	counts, err := repository.RunGitCommand(ctx, repo.SourcePath(), "rev-list", "--left-right", "--count", fmt.Sprintf("HEAD...%s", remoteRef))
+	if err != nil {
+		return fmt.Errorf("failed to check for changes: %w", err)
+	}
+
+	// Parse the output to determine if there are changes
+	parts := strings.Split(strings.TrimSpace(counts), "\t")
+	if len(parts) != 2 {
+		return fmt.Errorf("unexpected git rev-list output: %s", counts)
+	}
+	aheadCount, behindCount := parts[0], parts[1]
+
+	// If we're behind, pull the changes
+	if behindCount != "0" {
+		if aheadCount == "0" {
+			// Fast-forward merge
+			_, err = repository.RunGitCommand(ctx, repo.SourcePath(), "merge", "--ff-only", remoteRef)
+			if err != nil {
+				return fmt.Errorf("failed to fast-forward merge: %w", err)
+			}
+			slog.Info("pulled new commits from environment", "commits", behindCount, "env-id", envID)
+		} else {
+			// Local changes exist, notify user
+			slog.Warn("environment has new commits but local branch is ahead, manual merge required", "env-id", envID, "remote-commits", behindCount, "local-commits", aheadCount)
+		}
+	}
+
+	return nil
+}
+
+func init() {
+	followCmd.Flags().StringP("branch", "b", "", "Local branch name to use")
+	followCmd.Flags().DurationP("fallback-interval", "i", 30*time.Second, "Fallback polling interval (e.g., 30s, 1m)")
+	rootCmd.AddCommand(followCmd)
+}
diff --git a/cmd/container-use/logger.go b/cmd/container-use/logger.go
index a3344249..9b29d2b7 100644
--- a/cmd/container-use/logger.go
+++ b/cmd/container-use/logger.go
@@ -6,6 +6,9 @@ import (
 	"log/slog"
 	"os"
 	"time"
+
+	"github.com/lmittmann/tint"
+	"golang.org/x/term"
 )
 
 var (
@@ -30,16 +33,38 @@ func parseLogLevel(levelStr string) slog.Level {
 func setupLogger() error {
 	var writers []io.Writer
 
-	logFile := "/tmp/container-use.debug.stderr.log"
-	if v, ok := os.LookupEnv("CONTAINER_USE_STDERR_FILE"); ok {
-		logFile = v
-	}
+	// Check if stdout is a TTY (interactive) vs piped/redirected (non-interactive)
+	isInteractive := term.IsTerminal(int(os.Stdout.Fd()))
 
-	file, err := os.OpenFile(logFile, os.O_CREATE|os.O_WRONLY|os.O_APPEND, 0644)
-	if err != nil {
-		return fmt.Errorf("failed to open log file %s: %w", logFile, err)
+	if !isInteractive {
+		// For non-interactive use (like MCP protocol), log to file to avoid interference
+		logFile := "/tmp/container-use.debug.stderr.log"
+		if v, ok := os.LookupEnv("CONTAINER_USE_STDERR_FILE"); ok {
+			logFile = v
+		}
+
+		file, err := os.OpenFile(logFile, os.O_CREATE|os.O_WRONLY|os.O_APPEND, 0644)
+		if err != nil {
+			return fmt.Errorf("failed to open log file %s: %w", logFile, err)
+		}
+		writers = append(writers, file)
+	} else {
+		// For interactive use, log to stderr by default
+		if v, ok := os.LookupEnv("CONTAINER_USE_STDERR_FILE"); ok {
+			if v == "/dev/stderr" || v == "" {
+				writers = append(writers, os.Stderr)
+			} else {
+				file, err := os.OpenFile(v, os.O_CREATE|os.O_WRONLY|os.O_APPEND, 0644)
+				if err != nil {
+					return fmt.Errorf("failed to open log file %s: %w", v, err)
+				}
+				writers = append(writers, file)
+			}
+		} else {
+			// Default to stderr for interactive use
+			writers = append(writers, os.Stderr)
+		}
 	}
-	writers = append(writers, file)
 
 	if len(writers) == 0 {
 		fmt.Fprintf(os.Stderr, "%s Logging disabled. Set CONTAINER_USE_STDERR_FILE and CONTAINER_USE_LOG_LEVEL environment variables\n", time.Now().Format(time.DateTime))
@@ -47,9 +72,20 @@ func setupLogger() error {
 
 	logLevel := parseLogLevel(os.Getenv("CONTAINER_USE_LOG_LEVEL"))
 	logWriter = io.MultiWriter(writers...)
-	handler := slog.NewTextHandler(logWriter, &slog.HandlerOptions{
-		Level: logLevel,
-	})
+	
+	var handler slog.Handler
+	if !isInteractive {
+		// For non-interactive use, use plain text handler for file logging
+		handler = slog.NewTextHandler(logWriter, &slog.HandlerOptions{
+			Level: logLevel,
+		})
+	} else {
+		// For interactive use, use tint for prettier output
+		handler = tint.NewHandler(logWriter, &tint.Options{
+			Level:      logLevel,
+			TimeFormat: time.Kitchen,
+		})
+	}
 	slog.SetDefault(slog.New(handler))
 
 	return nil
diff --git a/go.mod b/go.mod
index 461f6838..64d9853b 100644
--- a/go.mod
+++ b/go.mod
@@ -11,9 +11,11 @@ require (
 	github.com/charmbracelet/lipgloss v1.1.0
 	github.com/dustin/go-humanize v1.0.1
 	github.com/dustinkirkland/golang-petname v0.0.0-20240428194347-eebcea082ee0
+	github.com/fsnotify/fsnotify v1.9.0
 	github.com/mark3labs/mcp-go v0.29.0
 	github.com/mitchellh/go-homedir v1.1.0
 	github.com/pelletier/go-toml/v2 v2.2.4
+	github.com/sourcegraph/go-diff-patch v0.0.0-20240223163233-798fd1e94a8e
 	github.com/spf13/cobra v1.9.1
 	github.com/stretchr/testify v1.10.0
 	github.com/tiborvass/go-watch v0.0.0-20250607214558-08999a83bf8b
@@ -39,6 +41,7 @@ require (
 	github.com/google/uuid v1.6.0 // indirect
 	github.com/grpc-ecosystem/grpc-gateway/v2 v2.27.1 // indirect
 	github.com/inconshreveable/mousetrap v1.1.0 // indirect
+	github.com/lmittmann/tint v1.1.2 // indirect
 	github.com/lucasb-eyer/go-colorful v1.2.0 // indirect
 	github.com/mattn/go-isatty v0.0.20 // indirect
 	github.com/mattn/go-localereader v0.0.1 // indirect
diff --git a/go.sum b/go.sum
index 44d4f368..73de34c4 100644
--- a/go.sum
+++ b/go.sum
@@ -1,5 +1,3 @@
-dagger.io/dagger v0.18.11 h1:6lSfemlbGM2HmdOjhgevrX2+orMDGKU/xTaBMZ+otyY=
-dagger.io/dagger v0.18.11/go.mod h1:azlZ24m2br95t0jQHUBpL5SiafeqtVDLl1Itlq6GO+4=
 dagger.io/dagger v0.18.12 h1:s7v8aHlzDUogZ/jW92lHC+gljCNRML+0mosfh13R4vs=
 dagger.io/dagger v0.18.12/go.mod h1:azlZ24m2br95t0jQHUBpL5SiafeqtVDLl1Itlq6GO+4=
 github.com/99designs/gqlgen v0.17.75 h1:GwHJsptXWLHeY7JO8b7YueUI4w9Pom6wJTICosDtQuI=
@@ -48,6 +46,8 @@ github.com/erikgeiser/coninput v0.0.0-20211004153227-1c3628e74d0f h1:Y/CXytFA4m6
 github.com/erikgeiser/coninput v0.0.0-20211004153227-1c3628e74d0f/go.mod h1:vw97MGsxSvLiUE2X8qFplwetxpGLQrlU1Q9AUEIzCaM=
 github.com/frankban/quicktest v1.14.6 h1:7Xjx+VpznH+oBnejlPUj8oUpdxnVs4f8XU8WnHkI4W8=
 github.com/frankban/quicktest v1.14.6/go.mod h1:4ptaffx2x8+WTWXmUCuVU6aPUX1/Mz7zb5vbUoiM6w0=
+github.com/fsnotify/fsnotify v1.9.0 h1:2Ml+OJNzbYCTzsxtv8vKSFD9PbJjmhYF14k/jKC7S9k=
+github.com/fsnotify/fsnotify v1.9.0/go.mod h1:8jBTzvmWwFyi3Pb8djgCCO5IBqzKJ/Jwo8TRcHyHii0=
 github.com/go-logr/logr v1.2.2/go.mod h1:jdQByPbusPIv2/zmleS9BjJVeZ6kBagPoEUsqbVz/1A=
 github.com/go-logr/logr v1.4.3 h1:CjnDlHq8ikf6E492q6eKboGOC0T8CDaOvkHCIg8idEI=
 github.com/go-logr/logr v1.4.3/go.mod h1:9T104GzyrTigFIr8wt5mBrctHMim0Nb2HLGrmQ40KvY=
@@ -70,6 +70,8 @@ github.com/kr/pty v1.1.1/go.mod h1:pFQYn66WHrOpPYNljwOMqo10TkYh1fy3cYio2l3bCsQ=
 github.com/kr/text v0.1.0/go.mod h1:4Jbv+DJW3UT/LiOwJeYQe1efqtUx/iVham/4vfdArNI=
 github.com/kr/text v0.2.0 h1:5Nx0Ya0ZqY2ygV366QzturHI13Jq95ApcVaJBhpS+AY=
 github.com/kr/text v0.2.0/go.mod h1:eLer722TekiGuMkidMxC/pM04lWEeraHUUmBw8l2grE=
+github.com/lmittmann/tint v1.1.2 h1:2CQzrL6rslrsyjqLDwD11bZ5OpLBPU+g3G/r5LSfS8w=
+github.com/lmittmann/tint v1.1.2/go.mod h1:HIS3gSy7qNwGCj+5oRjAutErFBl4BzdQP6cJZ0NfMwE=
 github.com/lucasb-eyer/go-colorful v1.2.0 h1:1nnpGOrhyZZuNyfu1QjKiUICQ74+3FNCN69Aj6K7nkY=
 github.com/lucasb-eyer/go-colorful v1.2.0/go.mod h1:R4dSotOR9KMtayYi1e77YzuveK+i7ruzyGqttikkLy0=
 github.com/mark3labs/mcp-go v0.29.0 h1:sH1NBcumKskhxqYzhXfGc201D7P76TVXiT0fGVhabeI=
diff --git a/repository/git.go b/repository/git.go
index b3793cae..6aa7f3c6 100644
--- a/repository/git.go
+++ b/repository/git.go
@@ -32,9 +32,9 @@ var (
 // RunGitCommand executes a git command in the specified directory.
 // This is exported for use in tests and other packages that need direct git access.
 func RunGitCommand(ctx context.Context, dir string, args ...string) (out string, rerr error) {
-	slog.Info(fmt.Sprintf("[%s] $ git %s", dir, strings.Join(args, " ")))
+	slog.Debug(fmt.Sprintf("[%s] $ git %s", dir, strings.Join(args, " ")))
 	defer func() {
-		slog.Info(fmt.Sprintf("[%s] $ git %s (DONE)", dir, strings.Join(args, " ")), "err", rerr)
+		slog.Debug(fmt.Sprintf("[%s] $ git %s (DONE)", dir, strings.Join(args, " ")), "err", rerr)
 	}()
 
 	cmd := exec.CommandContext(ctx, "git", args...)
@@ -55,9 +55,9 @@ func RunGitCommand(ctx context.Context, dir string, args ...string) (out string,
 
 // RunInteractiveGitCommand executes a git command in the specified directory in interactive mode.
 func RunInteractiveGitCommand(ctx context.Context, dir string, w io.Writer, args ...string) (rerr error) {
-	slog.Info(fmt.Sprintf("[%s] $ git %s", dir, strings.Join(args, " ")))
+	slog.Debug(fmt.Sprintf("[%s] $ git %s", dir, strings.Join(args, " ")))
 	defer func() {
-		slog.Info(fmt.Sprintf("[%s] $ git %s (DONE)", dir, strings.Join(args, " ")), "err", rerr)
+		slog.Debug(fmt.Sprintf("[%s] $ git %s (DONE)", dir, strings.Join(args, " ")), "err", rerr)
 	}()
 
 	cmd := exec.CommandContext(ctx, "git", args...)