This study aimed to optimize inland container logistics with dry port location-allocation by including empty container relocation and volume discounts. A multi-objective mixed-integer programming model was proposed and implemented to optimize total costs and total emissions. The results showed that the total emissions can only be minimized down to 13.23% lower than the amount created from the minimum costs. This indicates that modal shift should not be seen as a miracle solution for emissions reduction instead it should be seen as a first step before the adaptation of high energy-efficient rail transportation technologies. Decreasing rail transportation costs came forward as the most effective measure for emission reduction. The results also revealed the importance of providing enough capacity in the railways for achieving low emissions. In the application case, the electrification of railways would not achieve much decrease in emissions. Additionally, it was shown that possible environmental taxation of road transportation would significantly increase total costs while making almost no impact on emissions.