I'm planning to replace the fork on the Tommasini I bought recently with a chrome version (the previous owner painted the fork that's on there now, because the chrome was in poor condition). Unfortunately, the replacement isn't in perfect shape either (as pictured).

I looked at the old rust threads, seems like I might want to use Flitz/Blue Magic/Noxon/Nevr Dull on it. The rust comes off easily with a fingernail, so I imagine it shouldn't be that hard to remove. Then I'll wax it with carnauba. Does that sound like the right thing to do? Is there a best one of those options to use?

The head tube is discolored but doesn't seem that rusty, in the sense that it's still perfectly smooth. Should I just use the same derusting stuff on that as on the chrome parts?

One other thing: a few of the threads on the fork are sheared off (as pictured). Is this likely to cause problems?