Peak production of the SD40-2 was in the mid-1970s. Sales of the SD40-2 began to diminish after 1981 due to the oil crisis, increased competition from GE's Dash-7 series and the introduction of the EMD SD50, which was available concurrently to late SD40-2 production. The last SD40-2 delivered to a United States railroad was built in July 1984, with production continuing for railroads in Canada until 1988, Mexico until February 1986, and Brazil until October 1989. As of 2013, nearly all built still remain in service.