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With loyalist space marines, when a chapter takes casualties they recruit strong people from other planets and trial them. But, when Chaos space marines take casualties they don't recruit from the the fluff i read in the codex. So my question is, how do chaos space marine legions replace the casualties?

They still produce their own marines but generally have much more trouble because of their own gene-seed mutations. They also steal the gene-seed from dead loyalists and I think they raid facilities where gene-seed is stored.
They're also bolstered by Loyalists turning traitor.

There's already a thread on this, it's literally on the first page.

http://www.dakkadakka.com/dakkaforum/posts/list/518915.page

Seriously, at least try looking for similar threads before starting a new one.

Sorry i forgot to try that first. Thnx anyways.

Doesn't Bile make clones for legions too? I think they mention it in the CSM codex

Yes, Bile makes clones, but most of the time they have defiencies or flaws.

The Iron Warriors had, before the Ultramarines destroyed it, the Daemoncubala or something along that.
They injected stolen gene-seed (Imperial Fists precisely) in mutated wombs.
After some time a "skeleton" of a Chaos Marine would eventually born, and then they'd stitch skin on 'em and give 'em PA and Requiem.

Ironically the hardened survivors are the ideal recruits for both the Lloyal and traitorous Astartes. I generally take the CSM to be more left to chance than the Imperial dogma when it comes to who survives the recruitment. Often the whims of the Chaos gods comes into play when acolytes are done. Also I'm quite certain that unlike the Space Marines positive reinforcement you have negative reinforcement for their evil counterparts. Where you get praised if you shoot down a Venom, your superior will only berate you for not doing it sooner in the CSM.

It said that bile improves marines and then at the battles end they often have a painful death.