An integrated hydraulic transaxle (IHT) comprises a hydrostatic transmission (HST), an axle driven by the HST, and a housing incorporating the HST and the axle. The HST includes a variable displacement hydraulic pump driven by a prime mover, and a hydraulic motor fluidly connected to the hydraulic pump. The hydraulic pump has a trunnion type movable swash plate. The internal displacement of the hydraulic motor is larger than the internal displacement of the hydraulic pump so as to increase the hydraulic deceleration activity of the HST. In the IHT, a mechanical deceleration drive train is interposed between the hydraulic motor and the axle. The mechanical deceleration activity of the mechanical deceleration drive train is reduced so far as the increase of the hydraulic deceleration activity of the HST.