You’re missing the “privatized railways” and “trains need more grading” components.

Businesses need to ship cargo. However the private railroads road block attempts at public freight rail (which is massively more efficient) so the demand from businesses is to run truck traffic over highways which is where like 99.9% of road wear comes from.

Private railways also have no incentive to expand service (it costs a lot to properly grade for freight and they have regional monopolies. )