From my visits to the Playmobil factory in Malta, the latest one since the new factory opened, I can say that the process is cellulose based.  It is also a printing process and not a painting one.  However, my most recent visit was some years ago and the process may have changed since then.
Yes, they use a 'pad printing'.  I believe the North Am term (slang?) for it is, "tampo" (sic?).