The 63 K phase transition of ZrTe3, has been followed through SQUID magneti
sation and neutron diffraction studies. The transition is characterized by
a small quenching of the magnetic susceptibility. Contrary to the expectati
on that the structural transition is associated with a charge density wave,
the results of Rietveld refinements of high resolution neutron powder diff
raction profiles indicate that below the phase transition the different bon
ding Te-Te contacts are more equal rather than less. The results are examin
ed with the help of band, structure calculations on structures determined a
t three different temperatures. The picture that emerges supports the view
that anion-cation redox competition plays a crucial role in determining not
only the structures of these compounds, but also the temperature dependenc
e thereof.