I think you're right about Hong Kong.  On the orginal box is stamped "Made in Hong Kong".  I know nothing about the different scales, but I'll bet you're right about that too!

thanks so much for the information

Thanks to all who replied.

Scot, the locomotive does not have a face.  The train and track are all plastic.

Also, if I list it on Ebay, what scale should I list it as???

Hi!
My mother-in-law's estate contained a train set which I am trying to get information on so I can list it on Ebay.
The warranty card says it is Bachmann but I can find no scale or other information.  The set contains an engine which is 3 1/2" long by 1 3/4" tall and it uses a AA battery.  The caboose is 2 1/2" long, the yellow B&O car is 2 1/2" long, and the B&O car is 2" long.  There are 20 pieces of track and 2 sheets of punch out people, train station, animals, etc.  At the top of these sheets is printed The American Spirit.
Thanks for any help you can offer.  I can also be contacted at pamoliver13@yahoo.com