Dorfan was the first U.S. train manufacturer to use die casting in its manufacturing process. However, Dorfan's alloys suffered from impurities, which weakened the metal and caused the trains to disintegrate over time, an early victim of zinc pest. Dorfan replaced the damaged parts, but at great expense. Dorfan was also unique in its approach of encouraging its customers to take the trains apart and learn how they worked.

At its peak, Dorfan had about 150 employees, but the Great Depression wiped out the company. It ended production in 1934, although old inventory was sold at least until 1936.

Few Dorfan trains survive today, making them among the rarest and most valuable of toy trains.

Some of the Dorfan tooling was later used by Unique Art to make its tinplate trains in the early 1950s.