An abnormal phenomenal of rail corrugation was found in the transition and circular curve interval of the mountain city metro, in which the rail corrugation on the outer rail is more serious and earlier than that on the inner rail, and the wavelengths are also different. In the present article, the frictional self-excited oscillation of the wheel–rail system and the feedback vibration of the rail corrugation are considered comprehensively to study the mechanism of rail corrugation. According to the dynamic analysis of the vehicle track system on the high-incidence section of rail corrugation, finite element models of wheelset–track systems on the smooth track and wear track are established. Then, the unstable vibration mode and dynamic response of the wheelset–track system are calculated by complex eigenvalue analysis and transient dynamic analysis. The consistency of the numerical simulation and field test indicates that the generation of rail corrugation may be affected by the frictional self-excited vibration of the wheelset–track system. Furthermore, the feedback vibration induced by the previous rail corrugation not only aggravates the original rail corrugation but also induces new rail corrugation.