I am having the same problem of photos copying to the iPhone but albums showing empty. In my case I have 40,000+ photos stored in hundreds of albums/folders. My desktop is running iTunes 12.7.3.46 (current as of 3/2018) on Windows 7 and the iPhoneX is running 11.2.6 (also current). I have used this approach successfully for years, but ran into the problem now when adding a few hundred photos from a recent trip. In the past failure to sync/copy photos could be tied to insufficient disk space (apparently needed temporarily during the sync process) and by freeing up more space used to clear the way for a successful sync, but no longer. I've tried every solution mentioned in this thread (short of rebuilding/restoring the phone) and none of them has worked. I also tried Lightroom, but it doesn't seem to support copying folders, just dumping all the photos into one place which makes them useless.
Based on all of us having this problem it's clear that there is a bug in iOS that we need Apple to fix. Any chance that will happen? I'm happy to provide access to my machine/data if this will help.
At the same time it would be wonderful if iOS could handle multi level folders (like having top level folders of say Asia, Americas, Europe etc.), each containing another level (Japan, China, Thailand, etc.) each containing dates (2015 03, 2016 07, etc.) with photos from that period in each case. Virtually every other computer operating system supports this basic structure, why not iOS? (I know Apple wants us all to go to the Cloud, but then why did they sell me a phone that only fills 25% of the storage capacity with 40,000 photos--so there's room for many more? Many of us don't want to transfer everything to the cloud for various reasons so why not give us the capability we need, especially since it would be easy to implement?)