diff --git a/internal/libdocker/container.go b/internal/libdocker/container.go
index 849bd7bae4..658f8fe907 100644
--- a/internal/libdocker/container.go
+++ b/internal/libdocker/container.go
@@ -98,6 +98,16 @@ func (b *ContainerBackend) CreateContainer(ctx context.Context, imageName string
 		// but it's probably best to give Docker the info as early as possible.
 		createOpts.Config.AttachStdout = true
 	}
+	if opt.LogFile != "" {
+		createOpts.HostConfig = &docker.HostConfig{
+			LogConfig: docker.LogConfig{
+				Config: map[string]string{
+					"mode":            "non-blocking",
+					"max-buffer-size": "4m",
+				},
+			},
+		}
+	}
 
 	c, err := b.client.CreateContainer(createOpts)
 	if err != nil {
@@ -331,49 +341,46 @@ func (b *ContainerBackend) uploadFiles(ctx context.Context, id string, files map
 // starts executing the container and returns the CloseWaiter to allow the caller
 // to wait for termination.
 func (b *ContainerBackend) runContainer(ctx context.Context, logger log15.Logger, id string, opts libhive.ContainerOptions) (docker.CloseWaiter, error) {
-	var (
-		outStream io.Writer
-		errStream io.Writer
-		closer    = newFileCloser(logger)
-	)
+	logger.Debug("starting container")
+	if err := b.client.StartContainerWithContext(id, nil, ctx); err != nil {
+		logger.Error("failed to start container", "err", err)
+		return nil, err
+	}
 
+	var closer *fileCloser
+	var err error
 	switch {
 	case opts.Output != nil && opts.LogFile != "":
 		return nil, fmt.Errorf("can't use LogFile and Output options at the same time")
-
 	case opts.Output != nil:
-		outStream = opts.Output
-		closer.addFile(opts.Output)
-
-		// If console logging is requested, dump stderr there.
-		if b.config.ContainerOutput != nil {
-			prefixer := newLinePrefixWriter(b.config.ContainerOutput, fmt.Sprintf("[%s] ", id[:8]))
-			closer.addFile(prefixer)
-			errStream = prefixer
-
-			// outStream = io.MultiWriter(outStream, prefixer)
-		}
-
+		closer, err = b.attachIO(ctx, logger, id, opts)
 	case opts.LogFile != "":
-		// Redirect container output to logfile.
-		if err := os.MkdirAll(filepath.Dir(opts.LogFile), 0755); err != nil {
-			return nil, err
-		}
-		log, err := os.OpenFile(opts.LogFile, os.O_WRONLY|os.O_CREATE|os.O_SYNC|os.O_TRUNC, 0644)
-		if err != nil {
-			return nil, err
-		}
-		closer.addFile(log)
-		outStream = log
-
-		// If console logging was requested, tee the output and tag it with the container id.
-		if b.config.ContainerOutput != nil {
-			prefixer := newLinePrefixWriter(b.config.ContainerOutput, fmt.Sprintf("[%s] ", id[:8]))
-			closer.addFile(prefixer)
-			outStream = io.MultiWriter(log, prefixer)
+		closer, err = b.attachLogs(ctx, logger, id, opts)
+	}
+	if err != nil {
+		if closer != nil {
+			closer.Close()
 		}
-		// In LogFile mode, stderr is redirected to stdout.
-		errStream = outStream
+		return nil, err
+	}
+	return closer, nil
+}
+
+func (b *ContainerBackend) attachIO(ctx context.Context, logger log15.Logger, id string, opts libhive.ContainerOptions) (*fileCloser, error) {
+	var (
+		outStream io.Writer
+		errStream io.Writer
+		closer    = newFileCloser(logger)
+	)
+	closer.addFile(opts.Output)
+	outStream = opts.Output
+
+	// If console logging is requested, dump stderr there.
+	if b.config.ContainerOutput != nil {
+		prefixer := newLinePrefixWriter(b.config.ContainerOutput, fmt.Sprintf("[%s] ", id[:8]))
+		closer.addFile(prefixer)
+		errStream = prefixer
+		// outStream = io.MultiWriter(outStream, prefixer)
 	}
 
 	// Configure the streams and attach.
@@ -401,16 +408,67 @@ func (b *ContainerBackend) runContainer(ctx context.Context, logger log15.Logger
 		return nil, err
 	}
 	closer.w = waiter
+	return closer, nil
+}
 
-	logger.Debug("starting container")
-	if err := b.client.StartContainerWithContext(id, nil, ctx); err != nil {
-		closer.Close()
-		logger.Error("failed to start container", "err", err)
+func (b *ContainerBackend) attachLogs(ctx context.Context, logger log15.Logger, id string, opts libhive.ContainerOptions) (*fileCloser, error) {
+	if opts.Input != nil {
+		return nil, fmt.Errorf("container input is not supported in logFile mode")
+	}
+	if err := os.MkdirAll(filepath.Dir(opts.LogFile), 0755); err != nil {
 		return nil, err
 	}
+	log, err := os.OpenFile(opts.LogFile, os.O_WRONLY|os.O_CREATE|os.O_TRUNC, 0644)
+	if err != nil {
+		return nil, err
+	}
+
+	closer := new(fileCloser)
+	closer.addFile(log)
+
+	logopt := docker.LogsOptions{
+		Container:    id,
+		OutputStream: log,
+		ErrorStream:  log,
+		Follow:       true,
+		Stdout:       true,
+		Stderr:       true,
+		// Timestamps:   true,
+	}
+	var wg wgCloseWaiter
+	wg.Add(1)
+	go func() {
+		logger.Debug("reading container logs")
+		defer wg.Done()
+		err := b.client.Logs(logopt)
+		if err != nil {
+			wg.err = err
+			logger.Error("container log stream failed", "err", err)
+			return
+		}
+	}()
+	closer.w = &wg
 	return closer, nil
 }
 
+type wgCloseWaiter struct {
+	sync.WaitGroup
+	err error
+}
+
+func (w *wgCloseWaiter) Wait() error {
+	w.WaitGroup.Wait()
+	return w.err
+}
+
+func (w *wgCloseWaiter) Close() error {
+	return nil
+}
+
+type flusher interface {
+	Flush() error
+}
+
 // fileCloser wraps a docker.CloseWaiter and closes all io.Closer instances held in it,
 // after it is done waiting.
 type fileCloser struct {
@@ -443,6 +501,9 @@ func (w *fileCloser) addFile(c io.Closer) {
 func (w *fileCloser) closeFiles() {
 	w.closeOnce.Do(func() {
 		for _, closer := range w.closers {
+			if f, ok := closer.(flusher); ok {
+				f.Flush()
+			}
 			if err := closer.Close(); err != nil {
 				w.logger.Error("failed to close fd", "err", err)
 			}