It looks like a failure in the theft deterrent system, but Trailvoys contain Passlock security, not PassKey. Passlock consists of a hall-effect sensor and tamper resistor within the ignition cylinder housing, while the PassKey system uses a transponder in the ignition key head.
Passlock isn't affected by contamination of the key, but there are a number of things that can cause it to fail - high or low voltages, problems with the Passlock circuits, module communication failures...
Your best bet is to have the diagnostic trouble codes pulled - there are at least eight associated with Passlock failure
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