diff --git a/sql/catalyst/src/main/java/org/apache/spark/sql/catalyst/expressions/UnsafeRow.java b/sql/catalyst/src/main/java/org/apache/spark/sql/catalyst/expressions/UnsafeRow.java
index 034894bd8608..4dc5ce1de047 100644
--- a/sql/catalyst/src/main/java/org/apache/spark/sql/catalyst/expressions/UnsafeRow.java
+++ b/sql/catalyst/src/main/java/org/apache/spark/sql/catalyst/expressions/UnsafeRow.java
@@ -288,7 +288,7 @@ public void setDecimal(int ordinal, Decimal value, int precision) {
       Platform.putLong(baseObject, baseOffset + cursor, 0L);
       Platform.putLong(baseObject, baseOffset + cursor + 8, 0L);
 
-      if (value == null) {
+      if (value == null || !value.changePrecision(precision, value.scale())) {
         setNullAt(ordinal);
         // keep the offset for future update
         Platform.putLong(baseObject, getFieldOffset(ordinal), cursor << 32);
diff --git a/sql/core/src/test/scala/org/apache/spark/sql/UnsafeRowSuite.scala b/sql/core/src/test/scala/org/apache/spark/sql/UnsafeRowSuite.scala
index a5f904c621e6..9daa69ce9f15 100644
--- a/sql/core/src/test/scala/org/apache/spark/sql/UnsafeRowSuite.scala
+++ b/sql/core/src/test/scala/org/apache/spark/sql/UnsafeRowSuite.scala
@@ -178,4 +178,14 @@ class UnsafeRowSuite extends SparkFunSuite {
     // Makes sure hashCode on unsafe array won't crash
     unsafeRow.getArray(0).hashCode()
   }
+
+  test("SPARK-32018: setDecimal with overflowed value") {
+    val d1 = new Decimal().set(BigDecimal("10000000000000000000")).toPrecision(38, 18)
+    val row = InternalRow.apply(d1)
+    val unsafeRow = UnsafeProjection.create(Array[DataType](DecimalType(38, 18))).apply(row)
+    assert(unsafeRow.getDecimal(0, 38, 18) === d1)
+    val d2 = (d1 * Decimal(10)).toPrecision(39, 18)
+    unsafeRow.setDecimal(0, d2, 38)
+    assert(unsafeRow.getDecimal(0, 38, 18) === null)
+  }
 }