No, it's not illegal.
The US Supreme Court has never been asked to rule on the legality of state-sanctioned Christmaschristmas trees, but in Allegheny County v. Greater Pittsburgh ACLU, it did rule that a crèche forming part of a Christmaschristmas display which happened to also include a large Christmaschristmas tree violated the Establishment Clause (and conversely that the inclusion of a menorahmenorah in the same display did not).
In that opinion, the court did have this to say about trees:
The Christmas tree, unlike the menorahmenorah, is not itself a religious symbol. Although Christmas trees once carried religious connotations, today they typify the secular celebration of Christmas.1
Indeed, the court concluded in that case that the inclusion of the tree in the display was a mitigating factor, reducing the likelihood that the menorah could be seen as an overt endorsement of religion.
If they were illegal, presumably some enterprising member of Congress would have tried to impeach the President by now ...