Microbial production of fatty acids and derivatives from non-edible biomass has attracted much attention as an alternative to their production from plant oils and animal fats. Fatty acids and some of their derivatives are ubiquitous metabolites synthesized for membrane biosynthesis and other metabolic purposes in microorganisms. These compounds, however, are rarely produced beyond cellular demands, frequently resulting in low titers even after metabolic engineering. Recently, more advanced metabolic engineering strategies including systems metabolic engineering allowed improved production of fatty acids and their derivatives by employing non-oleaginous and oleaginous microorganisms. Here, we review metabolic engineering strategies developed for the production of fatty acids and derivative chemicals by non-oleaginous and oleaginous microorganisms in recent years.