There is significant degradation on the main body of this engine. It’s not rust, but does appear to be some type of oxidation. Please consider that, in my uneducated opinion, this damage is more than simply a surface material blemish and may be pitting that would not be repairable with a simple surface restoration.
The Lionel 2018 Die-Cast 2-6-4 Steam Locomotive from 1956-61. Features include an open frame motor, a decorative bell, a 3-position E-unit, an operating smoke unit, an operating headlight, marker lights, metal side rods, metal wheels and nice detail.