The first time I fired a Yugo...it didn't cycle. Chalk that up to the valve being in the wrong position.
I wouldn't think the gas tube being a bit pitted would be the problem. Most of the cycling issues are valve related...if the piston moves freely for the first two inches of movement, it should be capable of doing it's part. There should be plenty of gases to cycle it. When shooting it, have someone watch to see if any gases are visible escaping from the breathing holes in the tube. If none are seen, also check to see if any residue is left in their vicinity. Those holes are to prevent pressure building up in the tube behind the head of the piston within the tube...and don't expect it to be totally air tight...it should be more like an engine piston that is close to needing new rings. If it is too excessive, residue should be seen after several rounds around those holes...which should be blasting a lot of gasses out if the tube/piston are the problem.
You might also check the operating rod inside the rear sight housing to ensure it is not stuck, this is what the piston is trying to move. If it is frozen, all the gases will have no choice but to push the bullet harder and not cycle the rifle...and probably end up bending the piston over time.
All that being said, if the valve itself or it's ring/gasket are badly corroded the proper amount of gas can't get by and you will get the same result. This often can be fixed with a little MacGuyver ingenuity and a paper clip.
You didn't say whether it was giving any indication of partial cycling, like the op rod poking out and sticking, holding the bolt open, or partial extraction...so I am assuming zero indication of cycling at all.
hope that helps...