Declining logistics costs are helping ease inflation pressures in supply chains, reports The Wall Street Journal. U.S. supplier prices fell in March by the most in nearly three years, with the producer-price index sliding a steeper-than-expected 0.5% from the month before.

The measure marks the latest sign that pandemic-driven strains that have sent corporate costs soaring, from rising raw materials prices to shipping bottlenecks, are now receding. Supplier prices rose 2.7% in March, down significantly from last year’s highs but still above pre-pandemic levels.

Commodities prices have been falling, and buyers are starting to see the impact of tumbling logistics prices. 

The Labor Department’s index for transportation and warehousing of finished goods dropped 2.4% from February, the fourth straight monthly decline, and was down 3.8% over the past year. That suggests falling trucking rates, diesel prices and other freight transport measures are cascading through supply chains.