The whole section here in the Apostle Paul's letter to Christians in Rome is showing God's point of view. This is how those people are viewed by God. Needless to say, those people acting in such a manner described would likely deny that to any fellow human putting those points to them. But that's not to say that they don't know, within themselves, that they deserve the judgment of God!
Most people who act in the way described demonstrate that their attitudes and thinking harden the more they engage in such activities. This is what happens when God "gives them over" to do what they desire to do. They may begin by excusing their behaviour, if challenged, trying to minimise the seriousness of it. Yet, if they continue to ignore their conscience, they reach the point spoken of in 1 Timothy 4:2, where their conscience has become 'seared', as with a branding iron. It becomes so hardened by continued wanton behaviour that what might have troubled them years ago is now just a laughing matter. Consider this Old Testament warning:
"Woe unto them that call evil good, and good evil; that put darkness
for light, and light for darkness; that put bitter for sweet, and
sweet for bitter! Woe to them that are wise in their own eyes, and
prudent in their own sight! Woe to the that are mighty to drink wine,
and men of strength to mingle strong drink: which justify the wicked
for reward, and take away the righteousness of the righteous from him!
Therefore as the fire devoureth the stubble, and the flame consumeth
the chaff, so their root shall be as rottenness, and their blossom
shall go up as dust: because they have cast away the law of the
Lord of hosts, and despised the word of the Holy One of Israel."
Isaiah 5:20-24 [bold emphasis mine]
Yes, people intrinsically know that certain things should never be done because they are evil. However, if people rationalise such things as being 'understandable' in given circumstances, or not evil at all if there is consent, or strong drink grips them rather than reverence for God's ways, or if some even deny God exists, then the outcome in Romans 1:18-32 will be worked out. Their excuses, their rationalisations, and even their denial of God cannot hide the reality that humanity knows certain things to be evil and deserving of judgment.
But remember what Isaiah pointed out - that the result of such ungodly thinking is calling evil good, and good evil. Corruption sets in. Paul explains that "as they did not like to retain God in their knowledge, God gave them over to a reprobate mind, to do those things which are not convenient", unrighteousness being their hallmark (vss. 28-28). There comes a point when they are "given over" but prior to that, they know the righteous judgment of God. Yet once they are "given over", they will deny that, being wise in their own conceits, and full of pride at either their independence from the law, or in succeeding at having the law changed to suit them.
"He that perverts truth shall soon be incapable of knowing the true
from the false. If you persist in wearing glasses that distort,
everything will be distorted to you." - Charles Haddon Spurgeon
So, yes, verse 32 is saying that the people that were given over to a debased mind know they are deserving of death. Just don't expect them to ever admit that to you.
