According to this page:
"If you choose to translate a page, the text of that page is sent to Google's translation service for translation. Your cookies are not sent along with that request and, if the page you are on is encrypted with SSL, Chrome also sends the translation request over SSL"
So that implies that Google can track you when you select to translate a page.
However, I am wondering if this feature tracks you even when you do not select to translate a page.
And by "research" I mean "look at what traffic is being sent with a tool like Wireshark."