diff --git a/src/ast/mod.rs b/src/ast/mod.rs
index 0d2bfff9f..2e08ee68d 100644
--- a/src/ast/mod.rs
+++ b/src/ast/mod.rs
@@ -39,13 +39,13 @@ pub use self::ddl::{
 };
 pub use self::operator::{BinaryOperator, UnaryOperator};
 pub use self::query::{
-    Cte, Distinct, ExceptSelectItem, ExcludeSelectItem, Fetch, ForClause, ForJson, ForXml,
-    GroupByExpr, IdentWithAlias, Join, JoinConstraint, JoinOperator, JsonTableColumn,
-    JsonTableColumnErrorHandling, LateralView, LockClause, LockType, NamedWindowDefinition,
-    NonBlock, Offset, OffsetRows, OrderByExpr, Query, RenameSelectItem, ReplaceSelectElement,
-    ReplaceSelectItem, Select, SelectInto, SelectItem, SetExpr, SetOperator, SetQuantifier, Table,
-    TableAlias, TableFactor, TableVersion, TableWithJoins, Top, TopQuantity, ValueTableMode,
-    Values, WildcardAdditionalOptions, With,
+    Cte, CteAsMaterialized, Distinct, ExceptSelectItem, ExcludeSelectItem, Fetch, ForClause,
+    ForJson, ForXml, GroupByExpr, IdentWithAlias, Join, JoinConstraint, JoinOperator,
+    JsonTableColumn, JsonTableColumnErrorHandling, LateralView, LockClause, LockType,
+    NamedWindowDefinition, NonBlock, Offset, OffsetRows, OrderByExpr, Query, RenameSelectItem,
+    ReplaceSelectElement, ReplaceSelectItem, Select, SelectInto, SelectItem, SetExpr, SetOperator,
+    SetQuantifier, Table, TableAlias, TableFactor, TableVersion, TableWithJoins, Top, TopQuantity,
+    ValueTableMode, Values, WildcardAdditionalOptions, With,
 };
 pub use self::value::{
     escape_quoted_string, DateTimeField, DollarQuotedString, TrimWhereField, Value,
diff --git a/src/ast/query.rs b/src/ast/query.rs
index f3c2d532c..bf33cdee6 100644
--- a/src/ast/query.rs
+++ b/src/ast/query.rs
@@ -383,7 +383,31 @@ impl fmt::Display for With {
     }
 }
 
-/// A single CTE (used after `WITH`): `alias [(col1, col2, ...)] AS ( query )`
+#[derive(Debug, Clone, PartialEq, PartialOrd, Eq, Ord, Hash)]
+#[cfg_attr(feature = "serde", derive(Serialize, Deserialize))]
+#[cfg_attr(feature = "visitor", derive(Visit, VisitMut))]
+pub enum CteAsMaterialized {
+    /// The `WITH` statement specifies `AS MATERIALIZED` behavior
+    Materialized,
+    /// The `WITH` statement specifies `AS NOT MATERIALIZED` behavior
+    NotMaterialized,
+}
+
+impl fmt::Display for CteAsMaterialized {
+    fn fmt(&self, f: &mut fmt::Formatter) -> fmt::Result {
+        match *self {
+            CteAsMaterialized::Materialized => {
+                write!(f, "MATERIALIZED")?;
+            }
+            CteAsMaterialized::NotMaterialized => {
+                write!(f, "NOT MATERIALIZED")?;
+            }
+        };
+        Ok(())
+    }
+}
+
+/// A single CTE (used after `WITH`): `<alias> [(col1, col2, ...)] AS <materialized> ( <query> )`
 /// The names in the column list before `AS`, when specified, replace the names
 /// of the columns returned by the query. The parser does not validate that the
 /// number of columns in the query matches the number of columns in the query.
@@ -394,11 +418,15 @@ pub struct Cte {
     pub alias: TableAlias,
     pub query: Box<Query>,
     pub from: Option<Ident>,
+    pub materialized: Option<CteAsMaterialized>,
 }
 
 impl fmt::Display for Cte {
     fn fmt(&self, f: &mut fmt::Formatter) -> fmt::Result {
-        write!(f, "{} AS ({})", self.alias, self.query)?;
+        match self.materialized.as_ref() {
+            None => write!(f, "{} AS ({})", self.alias, self.query)?,
+            Some(materialized) => write!(f, "{} AS {materialized} ({})", self.alias, self.query)?,
+        };
         if let Some(ref fr) = self.from {
             write!(f, " FROM {fr}")?;
         }
diff --git a/src/parser/mod.rs b/src/parser/mod.rs
index 33a310cf8..94bac6ec1 100644
--- a/src/parser/mod.rs
+++ b/src/parser/mod.rs
@@ -6719,6 +6719,14 @@ impl<'a> Parser<'a> {
         let name = self.parse_identifier(false)?;
 
         let mut cte = if self.parse_keyword(Keyword::AS) {
+            let mut is_materialized = None;
+            if dialect_of!(self is PostgreSqlDialect) {
+                if self.parse_keyword(Keyword::MATERIALIZED) {
+                    is_materialized = Some(CteAsMaterialized::Materialized);
+                } else if self.parse_keywords(&[Keyword::NOT, Keyword::MATERIALIZED]) {
+                    is_materialized = Some(CteAsMaterialized::NotMaterialized);
+                }
+            }
             self.expect_token(&Token::LParen)?;
             let query = Box::new(self.parse_query()?);
             self.expect_token(&Token::RParen)?;
@@ -6730,10 +6738,19 @@ impl<'a> Parser<'a> {
                 alias,
                 query,
                 from: None,
+                materialized: is_materialized,
             }
         } else {
             let columns = self.parse_parenthesized_column_list(Optional, false)?;
             self.expect_keyword(Keyword::AS)?;
+            let mut is_materialized = None;
+            if dialect_of!(self is PostgreSqlDialect) {
+                if self.parse_keyword(Keyword::MATERIALIZED) {
+                    is_materialized = Some(CteAsMaterialized::Materialized);
+                } else if self.parse_keywords(&[Keyword::NOT, Keyword::MATERIALIZED]) {
+                    is_materialized = Some(CteAsMaterialized::NotMaterialized);
+                }
+            }
             self.expect_token(&Token::LParen)?;
             let query = Box::new(self.parse_query()?);
             self.expect_token(&Token::RParen)?;
@@ -6742,6 +6759,7 @@ impl<'a> Parser<'a> {
                 alias,
                 query,
                 from: None,
+                materialized: is_materialized,
             }
         };
         if self.parse_keyword(Keyword::FROM) {
diff --git a/tests/sqlparser_common.rs b/tests/sqlparser_common.rs
index 13bc333c4..a32468fb8 100644
--- a/tests/sqlparser_common.rs
+++ b/tests/sqlparser_common.rs
@@ -5589,6 +5589,7 @@ fn parse_recursive_cte() {
         },
         query: Box::new(cte_query),
         from: None,
+        materialized: None,
     };
     assert_eq!(with.cte_tables.first().unwrap(), &expected);
 }
diff --git a/tests/sqlparser_postgres.rs b/tests/sqlparser_postgres.rs
index 1131a79b0..dd93e8991 100644
--- a/tests/sqlparser_postgres.rs
+++ b/tests/sqlparser_postgres.rs
@@ -3837,3 +3837,12 @@ fn parse_array_agg() {
     let sql4 = "SELECT ARRAY_AGG(my_schema.sections_tbl.*) AS sections FROM sections_tbl";
     pg().verified_stmt(sql4);
 }
+
+#[test]
+fn parse_mat_cte() {
+    let sql = r#"WITH cte AS MATERIALIZED (SELECT id FROM accounts) SELECT id FROM cte"#;
+    pg().verified_stmt(sql);
+
+    let sql2 = r#"WITH cte AS NOT MATERIALIZED (SELECT id FROM accounts) SELECT id FROM cte"#;
+    pg().verified_stmt(sql2);
+}