Tree height is one of the key dendrometric parameters for indirectly estimating the timber volume or aboveground biomass of a forest. Field measurement is time-consuming and labor-intensive, while unmanned aerial vehicle (UAV)-borne LiDAR is a more efficient tool for acquiring tree heights of large-area forests. Although individual tree heights extracted from point cloud data are of high accuracy, they are still affected by some weather and environment factors. In this study, taking a planted M. glyptostroboides (Metasequoia glyptostroboides Hu & W.C. Cheng) stand as the study object, we preliminarily assessed the effects of various illumination conditions (solar altitude angle and cloud cover) on tree height extraction using UAV LiDAR. The eight point clouds of the target stand were scanned at four time points (sunrise, noon, sunset, and night) in two consecutive days (sunny and overcast), respectively. The point clouds were first classified into ground points and aboveground vegetation points, which accordingly produced digital elevation model (DEM) and digital surface model (DSM). Then, the canopy height model (CHM) was obtained by subtracting DEM from DSM. Subsequently, individual trees were segmented based on the seed points identified by local maxima filtering. Finally, the individual tree heights of sample trees were separately extracted and assessed against the in situ measured values. As results, the R2 and RMSEs of tree heights obtained in the overcast daytime were commonly better than those in the sunny daytime; the R2 and RMSEs at night were superior among all time points, while those at noon were poorest. These indicated that the accuracy of individual tree height extraction had an inverse correlation with the intensity of illumination. To obtain more accurate tree heights for forestry applications, it is best to acquire point cloud data using UAV LiDAR at night, or at least not at noon when the illumination is generally strongest.