Disk2vhd : vhd and 4k sectors

I think I might have stumbled on an issue that effect where VHD files reside.  

I created a VM (Virtural PC) some time ago. At the time the only place that I would fit was a USB2 drive.  At first it seemed OK but over time, it was to slow to do any real work.  The usb drive was mounted at G: 

I just got a 4TB internal drive an installed it in the computer, formatted it and it works OK.  I thought that if I would copy the VHD and VMC file to the new disk and even change to usb from from the G: drive to P: and now mount the new 4TB drive as G: I should able to run the VM and it would run faster since it on a SATA drive now. 

Well, that turn out not to be the case.  It seemed that there was some issue with the VHD (that is now on the new drive) even thought the VHD’s compare exactly the same from the original to the copy. 

Now I tried to use the feature of Win7 to mount the VHD. I tried to mount the copy of the VHD that is on the new DRIVE and I got a message that the “sector size was not supported” 

I guess that I did not read the message more carefully – I thought that it was say that there was a problem with the VHD file itself 

But, after closer inspection of the message it was talking about were the VHD resides, the new hard drive. As it turns out, the new drive is an “AF” (advanced format) drive, it has  4K sectors. 

As I understand it the format command on win7 know’s how to natively format AF drive taking advantage of the 4K sector. 

I when when back an not mounted the VHD that resides on the USB drive (512B sectors) and it mounted with NO issues. 

Is the 4K sector size a known problem with VHD files that resided on these hard drives?  – Does VHDX overcome this issue?