Well it does not work if the XML file (starting by the standard PI:
<?xml-stylesheet type="text/xsl" href="..."?>
for referencing the XSL stylesheet) is served as "application/xml". In that case, Chrome will still download the referenced XSL stylesheet, but nothing will be rendered, as it will silently change the document types from "application/xml" into "Document" (!??) and "text/xsl" into "Stylesheet" (!??), and then will attempt to render the XML document as if it was an HTML(5) document, without running first its XSLT processor. And Nothing at all will be displayed in the screen (whose content will continue to show the previous page from which the XML page was referenced, and will continue spinning the icon, as if the document was never completely loaded.
You can perfectly use the Chrome console, that shows that all resources are loaded, but they are incorrectly interpreted.
So yes, Chrome currently only render XML files (with its optional leading XSL stylesheet declaration), only if it is served as "text/xml", but not as "application/xml" as it should for client-side rendered XML with an XSL declaration.
For XML files served as "text/xml" or "application/xml" and that do not contain an XSL stylesheet declaration, Chrome should still use a default stylesheet to render it as a DOM tree, or at least as its text source. But it does not, and here again it attempts to render it as if it was HTML, and bugs immediately on many scripts (including a default internal one) that attempt to access to "document.body" for handling onLoad events and inject some javascript handler in it.
An example of site that does not work as expected (the Common Lisp documentation) in Chrome, but works in IE which supports client-side XSLT:
http://common-lisp.net/project/bknr/static/lmman/toc.html
This index page above is displayed correctly, but all links will drive to XML documents with a basic XSL declaration to an existing XSL stylesheet document, and you can wait indefinitely, thinking that the chapters have problems to be downloaded. All you can do to read the docuemntation is to open the console and read the source code in the Resources tab.