What is this tool set in the red rack used for?
There are a mix of tools, #1, 8, 9 and 12 are center punches for marking metal prior to drilling. #2, (bent) 5, 6, 10 and 11 are drifts for driving pins, compression pins, door hinge pins too. #3 and 4 could be nail sets for driving finish nails below the surface of wood, but I cannot see the tip which should be "cupped" if they are a good set. #7 is a chisel of a sort, whether it is used for masonry or other hard material, it is very small and the grind on the tip almost makes it look screwdriver like, though it does not seem likely.
That is a set of punches.
There are pin punches (the straight flat tipped ones), for popping out roll pins and the like.
Center punches (the pointy ones) for marking a point in metal where to start a drill and to keep the drill bit from wandering.
Looks like two nail sets (the tapered flat pointed ones) for setting nails below the surface in wood.
And one tiny little chisel.