I they they have designed a routing algorithm that works very well in cities where Google employees live and work, and they either haven't tested elsewhere or aren't willing to make targeted changes to fix specific areas. It does work very well in US cities that have Google offices, but it's not surprising to me that it would fail elsewhere.
I mean, you'd think that, but lately it constantly tries to send me down illegal lefts, and tries to have me drive on the Muni/Taxi only part of Market. In San Francisco. And if San Francisco isn't a coty where Google employees live and work, I don't know what is!