Morphological and physiological measurements on individual leaves of Leucaena leucocephala seedlings were used to study acclimation to neutral shading. The light-saturated photosynthetic rate (Pn max) ranged from 19.6 to 6.5 μmol CO2 m−2 s−1 as photosynthetic photon flux density (PPFD) during growth decreased from 27 to 1.6 mol m−2 s−1. Stomatal density varied from 144 mm−2 in plants grown in high PPFD to 84 mm−2 in plants grown in low PPFD. Average maximal stomatal conductance for H2O was 1.1 in plants grown in high PPFD and 0.3 for plants grown in low PPFD. Plants grown in low PPFD had a greater total chlorophyll content than plants grown in high PPFD (7.2 vs 2.9 mg g−1 on a unit fresh weight basis, and 4.3 vs 3.7 mg dm−2 on a unit leaf area basis). Leaf area was largest when plants were grown under the intermediate PPFDs. Leaf density thickness was largest when plants were grown under the largest PPFDs. It is concluded that L. leucocephala shows extensive ability to acclimate to neutral shade, and could be considered a facultative shade plant.